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By Paul Lashmar

January 18, 2003

Bungled MI6 plot led to Cayman trial collapse

Intro:
 

British intelligence has scored what appears to be an own goal in a remote part of the Caribbean. An MI6 scheme to penetrate organised crime has instead enabled the defendants to walk free in a big money laundering trial in the Cayman Islands.

It has also led to the exposure of MI6's own supposedly highly secret intelligence operation there, codenamed Victory, and to a very public attack on Britain's spies by the tax haven's chief justice. Four defendants, believed to be expatriate Britons, were cleared and released by the chief justice Anthony Smellie on Tuesday after it emerged that MI6 had ordered the island's money-laundering officer to destroy evidence in an unsuccessful attempt to keep the agency's activities dark.

 
Excerpt: David Marchant, editor of the Miami-based Offshore Alert newsletter, who has been monitoring the lengthy case, said: "This is the latest in several fiascos involving the prosecution of offshore bankers in the Cayman Islands and further undermines confidence in the jurisdiction."

"It really is like something out of a James Bond movie that MI6 would instruct the leading anti-money laundering officer in the Cayman Islands to destroy important trial evidence prior to a search of his home."
 
 
 

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