Attention

Who rules: driver vs. beneficiary?

From a psychological point of view, it is understandable that a client would want to hide from trouble by appointing all sorts of shadow directors of various nationalities to a company. The favorite trusted person (and speaking honestly, the front man) is a personal driver, who is only inferior in this respect to relatives and friends who have gone abroad. But the question is not who would be the ideal dummy director, rather that the risk of using a nominee is incomparably higher than the seeming benefit the real owner gets by ‘hiding’ his identity behind other names in company documents and public registers.
To begin with, in a number of countries (such as Switzerland), a willful misrepresentation of the beneficial owner is subject to criminal (!) prosecution with up to 5 years imprisonment. And generally speaking, it is simply unreasonable to have a straw man as a key decision-maker in a business. Just imagine your driver at an interview with bankers. Imagine him withdrawing all the money from your bank account, after having barred your access to it (of course, with assistance from other people), or him granting a power of attorney to sign a contract for the sale of your ‘assets’. There are a plenty of lucrative opportunities he will discover with the help of ‘good people’ who will not be deceived as to the identity of the true beneficial owner of such a profitable business.