The same article writes: “At stake are billions of euros in tax revenues lost to the German government. Also at stake is Germany’s relationship with countries like Liechtenstein and Switzerland, home to banks that have offered lucrative arrangements to German tax evaders.”

Liechtenstein’s Crown Prince Alois accused Germany of mounting an “attack” on the principality and condemned as “unacceptable” the German authorities decision to allow its BND intelligence agency to pay more than €4 million (US $5.9 million) for bank client data allegedly stolen by a former Leichtenstein bank employee, reports the Financial Times (FT). However, Otmar Hasler, prime minister of Liechtenstein has promised, “more co-operation with Germany and a reform of the principality’s trust and tax laws,” notes the FT in a separate article.

The Associated Press (AP) reports that: “German politicians of all parties have seized on recent allegations that rich Germans are hiding millions of euros in the tiny Alpine principality of Liechtenstein to demand a concerted action against all offshore tax havens.” A senior official close to German Chancellor Angela Merkel commented on the situation: “Ultimately we want states such as Leichtenstein to provide us with information on any Germany resident holding assets on their territories,” writes the FT.

German tax officials and prosecutors conducted raids up and down the country, which have, according to AP, "led to the recovery of more than €27 million [US $39.4 million] and netted 163 people." On 14 February, Klaus Zumwinkel, the head of Deutsche Post and director on the boards of Morgan Stanley, Deutsche Telekom and Lufthansa, “surrendered to police amid suspicion that he evaded €1 million [US $1.46 million] in taxes, according to Christian Science Monitor. Bloomberg reports that: “Australia, Canada, France, Italy, New Zealand, Sweden, the U.K. and the U.S. all announced their own Liechtenstein probes Feb. 26.”

The secretary general of the Organisation for Economic Co-operation and Development (OECD), Angel Gurria, has been quoted criticising Liechtenstein’s secrecy rules as a “relic of a different time,” (FT). The OECD include Liechtenstein, along with Monaco and Andorra, on the organisation’s list of “Unco-operative Tax Havens”.

The FT notes that: “Tax investigators across Europe also hope the fact that their German colleagues obtained their information from a whistleblower within LGT – and that he was handsomely rewarded for his “betrayal” – could encourage others to follow suit.”