On January 23, 2020, the members of the Joint Chiefs of Global Tax Enforcement (J5) announced on the preceding day its first coordinated set of enforcement actions undertaken on a global scale by the J5. The operation results from a series of investigations in Australia, Canada, the Netherlands, the United States, and the United Kingdom.
For instance, as part of the operation, HMRC officers executed a search warrant in the Stoke area and arrested a man as part of their investigation. The HMRC questioned the man and then released him pending further enquiries. A 59-year-old man, the HMRC arrested him on suspicion of cheating the public revenue.
As a result of the significant information it has collected, the HMRC expects further criminal, civil and regulatory action will occur in each country.
The law enforcement operation took place as a part of a series of investigations in multiple countries into an international financial institution located in Central America. The J5 believes that through this institution a number of clients may be employing a sophisticated system to conceal and transfer wealth anonymously to evade their tax obligations and launder the proceeds of crime.
The operation of the first major operational activity for the J5 illustrates the role played by law enforcement networks, which in this case is an informal group of tax chiefs. An important breakthrough in international enforcement has been the development, as part of regime enforcement, of governmental networks. The identification of governmental networks has arisen in part out of the emergence of a world politics paradigm that conceptualizes transnational relations as transcending the nation-state and broadening the conception of actions to include transnational actors, such as nongovernmental organizations (e.g., J5).