Rosy blue also in HSBC list: Diamond dealers are tax haven’s best friends

(Indian Express) - Indian diamond merchants whose names figured in previous lists of accounts in Liechtenstein, British Virgin Islands and HSBC Geneva — all three were investigated and first reported by The Indian Express — have surfaced again in the Panama Papers. In the Mossack Fonseca files, there are at least 24 offshore companies linked to the Rosy Blue conglomerate and these are shown to have been registered in the tax havens of British Virgin Islands, Seychelles, Anguilla and Mauritius. From the documents, a clear pattern emerges: one company is listed as the principal shareholder of another. For example, Urizen Shipping Limited and Union Care Investments Ltd — the second is listed as a shareholder of the first. Another company, Blossom Agro Limited, is shown as shareholder of Union Care Investments Ltd, and Fourth Dimension Investment Holding company is the shareholder of Urizen Shipping Limited. The files mention Amic Mining Management Holdings Limited, set up in 2004 in the British Virgin Islands for undertaking prospecting/exploration of diamond mining in Luanda in Angola. The agreement for the project was between a South African firm and Rosy Blue FZE (another offshore company with this name exists in the Mossack Fonseca files and is among the 24 companies mentioned). The shareholders of Amic Mining are six other Rosy Blue companies, including Rosy Blue FZE. Dilip Mehta, one of the brothers at the helm of Rosy Blue, is among the directors.

(thediamondloupe.com) - In response to the insinuations by The Indian Express, Rosy Blue has issued the following press release denying its involvement in the Panama Papers companies:

"We refer to certain publications in the Indian press, regarding the so called Panama Papers, in which insinuations have been made regarding the involvement of the Rosy Blue Alliance of companies in creating off-shore structures for illegitimate purposes. The conclusions made in these publications are untrue and misleading as the Rosy Blue Alliance has currently no shareholding, directorship or involvement in any of the mentioned structures. We do not deny that during the mid-2000’s, the Rosy Blue Alliance of companies was studying the possibility of becoming active in the mining activity. For that purpose, Rosy Blue FZE, which was an operating company based out of Dubai, had taken a minority participation in a company specialized in the exploration of such mining possibilities. This company was incorporated under the laws of BVI serving a fully legitimate business activity. However, this activity did not materialize and hence the company was liquidated. As to the involvement of Mr. Harshad Mehta in the incorporation of companies in his personal name and capacity, we would like to refer to his personal statement herewith attached. Mr. Harshad Mehta and his son Rihen Mehta are since 2014 no longer part of any Rosy Blue company and have created their separate line of business."

The press release and accompanying documents are attached below.

Attachments:
Pressrelease_RosyBlue_06.04.2016.pdf