Ministry of Finance under criticism: How officials help the super-rich avoid taxes. Scandal surrounding top civil servant now bigger than expected.

Ministry of Finance under criticism: How officials help the super-rich avoid taxes. Scandal surrounding top civil servant now bigger than expected.

According to a report by amp.zdf.de, a scandal involving a top official in the Federal Ministry of Finance was recently uncovered. Gerda Hofmann, a ministerial councilor, regularly gave lectures at events that discussed tax avoidance and legal and tax pitfalls when advising wealthy clients. These side jobs brought her a significant income in addition to her salary as a civil servant. There is great outrage over this case and raises the question of what rules of conduct should apply to public servants.

The fact that Treasury officials earn a lot of money from outside jobs is not new. The online platform MPs Watch reported on this back in 2016. According to the Federal Civil Service Act, federal civil servants are allowed to earn up to a certain amount from secondary employment. In this case, Gerda Hofmann earned additional money on top of her official salary through her lectures at private events. This case has caused great dissatisfaction and possible legal consequences are now being examined.

The revelations show that the problem is broader than expected and calls for stricter rules for ministry officials are growing louder. The question of the behavior of public servants in secondary employment and the ethical question of whether this is consistent with their tasks and responsibilities is being discussed in public.

The impact of this scandal on the market and the financial industry could be profound. Confidence in the Treasury and its employees could be weakened. This could also put pressure on the government to create stricter rules for civil servants' secondary employment. This could lead to long-term change in the financial industry, particularly regarding the transparency and ethics of public officials and other financial professionals.

Overall, this scandal is expected to lead to widespread debate about the conduct of officials and outside activities in the financial industry, and may lead to legal changes that tighten the rules governing such activities. It remains to be seen how the government will respond to these revelations and what consequences this will have for the future of the financial industry.