Svik
On September 21, 2017, in connection with the so-called ‘Skattamálið’ (the Tax Case), Betri Banki was reported to the head of the police in the Faroe Islands on suspicion of having violated Article 139 of the Finance Act, which pertains to tax fraud.
Two months later, the Faroese police announced that they had requested the aid of the State Prosecutor for Serious Economic and International Crime (SØIK) in the investigation of Betri Banki. Two weeks later, the head news editor at KvF (Broadcasting Service of the Faroe Islands), who was responsible for the revelation of the scandal, received a letter of termination.
“There can be no doubt that TF (Betri Banki) carries enormous influence in the Faroes. TF (Betri Banki) can mobilize very powerful forces, both economically and politically. And they do not hesitate to use them. When a stop was put to Eik's (Betri Banki) tax deduction it was undoubtedly due to the independent and fearless press that dared to speak up where others preferred to remain silent,” said Jørn Astrup Hansen when the head news editor was fired.
Jan Lamhauge headed KvF’s journalistic investigation of the Tax Case and experienced firsthand how it affected the internal workings of KvF.
This is the story of how the wealthiest consortium in the Faroe Islands managed to get an illegal tax deduction of 90 million DKK from the Faroese Exchequer, how Faroese authorities attempted to defend the bank, and the consequences that this had for KvF.
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