U2 Accused of Robbing World’s Poorest People

Protesters have accused rock band U2 of robbing the world’s poor by amassing some of its wealth in a tax haven.

A day before the iconic band was due to launch its new album called No Line On The Horizon, a campaign group called Debt and Development Coalition Ireland (DDCI) gathered outside the Irish Department of Finance in Dublin. The protesters criticized the rockers’ 2006 decision to shift the company U2 Ltd to a finance house in Holland after the Irish government put a cap on tax-free earnings available under a special scheme for artists. The limit is now at 250,000 euros. Records show that the band’s company paid out over 21 million euros in wages

According to DDCI’s Nessa Ni Chasaide, “We wanted to raise our concern that while Bono has championed the cause of fighting poverty and injustice in the impoverished world, the fact is that his band has moved part of its business to a tax shelter in the Netherlands.

“Tax avoidance and tax evasion costs the impoverished world at least $160 million (£142.5m) every year. This is money urgently required to bring people out of poverty.

“U2 is just one part of the problem. This is a much wider and systemic problem in our global financial system. Every company and individual has the responsibility to pay the right amount of tax.”

Bono, the frontman for one of the world’s richest bands, says, “We pay millions and millions of dollars in tax. The thing that stung us (about the criticism) was the accusation of hypocrisy for my work as an activist."

He hinted that there is a double standard involved in accepting global investments in the Irish financial services market while taking aim at Irish entities that operate out of the country.

"I can understand how people outside the country wouldn't understand how Ireland got to its prosperity but everybody in Ireland knows that there are some very clever people in the government and in the Revenue (department) who created a financial architecture that prospered the entire nation -- it was a way of attracting people to this country who wouldn't normally do business here."

Britain’s Sunday Times newspaper reported in 2007 that U2 has an estimated collective wealth of $690 million.

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