Panama grants bail to Mossack Fonseca founders in Brazil corruption case

Tuesday, 9 May 2017 00:00 - - {{hitsCtrl.values.hits}}

Reuters: A Panamanian court has granted bail to the two founders of Mossack Fonseca, the law firm at the centre of the Panama Papers scandal, in a case allegedly tied to a sprawling corruption scandal in Brazil.

Following their February arrest on charges of money laundering, Jurgen Mossack and Ramon Fonseca each paid $500,000 on Friday and will be set free later in the day, the attorney for the two lawyers, Guillermina McDonald, told Reuters.

McDonald said the court had ruled they two were not a flight risk since they had been cooperating with the investigation. Another lawyer from the firm, Edison Teano, was still being held, she said.

Mossack Fonseca emerged from obscurity in April 2016 with the Panama Papers, millions of documents stolen from the firm and leaked to the media that illustrated how the wealthy use offshore corporations to avoid taxes. Panama has not charged them in any matter related to the papers.