#ParadisePapers: Massive leak reveals US commerce secretary Wilbur Ross's Russia-ties
What's the story
A recent massive corporate information leak termed "Paradise Papers" has exposed US commerce secretary Wilbur Ross's business ties to Russia.
Ross has reportedly retained financial interests in the Russian oil/gas transport company Navigator Holdings, through companies in the Cayman Islands.
This comes as the Russia investigation haunts the Donald Trump administration.
How will this affect the Trump administration? Read on.
Explained
What are the Paradise Papers?
Paradise Papers refer to a set of about 13.4 million corporate records which sheds light on trillions of dollars that corporates move through offshore tax havens.
These were obtained by German newspaper Sddeutsche Zeitung from Bermuda-based firm Applebi, Singapore-based Asiaciti Trust as well as government corporate registries in 19 secrecy jurisdictions, and shared with the International Consortium of Investigative Journalists.
Context
Multiple agencies investigating the Trump campaign's ties with Russia
US intelligence agencies believe that Russia meddled in the 2016 presidential election to help Trump win.
The Justice Department, FBI and other congressional committees are now investigating these Russian connections.
In a testimony before the Senate Intelligence Committee, former FBI director James Comey accused Trump of firing him to undermine the Russia investigation.
Trump has repeatedly denied the campaign's links to Russia.
Details
What did the papers reveal on Ross's investments in Russia?
As per the documents, Ross has interests in Navigator Holdings, which earns millions of dollars from transporting oil/gas for Russian energy giant Sibur.
Ross also briefly served as a board member at the company from 2012-2014,
Prominent Russian businessmen facing US sanctions, including Russian President Vladimir Putin's son-in-law's father Nikolai Shamalov, Gennady Timchenko and Lenonid Mikhelson (owner Novatek) are shareholders in Navigator Holdings.
Quote
How has the commerce department responded?
Speaking to the BBC, a commerce department spokesperson stated that "Secretary Ross doesn't associate himself from any matters focused on transoceanic shipping vessels. Ross works closely with ethics officials to ensure the highest ethical standards." However, the spokesperson did not dispute the revelations.
Conclusion
What does this mean?
Ross is known to be a close aide of Trump. According to Trump's biographer David Cay, "If it hadn't been for Wilbur Ross, Donald Trump wouldn't be in the White House."
The revelations may set back the Trump administration's efforts to shake off its alleged Russia ties.
Although Ross doesn't seem to have broken any laws, this could further diminish the administration's waning credibility.