US tax evaders ‘terrified’

WASHINGTON. Rich Americans who have evaded taxes by hiding foreign holdings in tax havens such as Switzerland and the Cayman Islands have about a week to turn themselves in to an Internal Revenue Service amnesty program or gamble they will not be caught. US citizens with undeclared assets in tax havens face a September 23 deadline to reveal their holdings, pay a fine and generally avoid criminal prosecution.

When that amnesty program expires, any tax cheats found by the government could face criminal prosecution.

UBS AG, the Swiss banking giant, agreed to hand over to the IRS the names of about 4,450 secret accounts as part of a court settlement reached last month. It appears to be working. "They are all terrified," said Ken Rubinstein, who handles such cases in NY.