Iceland's Prime Minister Sigmundur David Gunnlaugsson is to resign, his party said on Tuesday, becoming the first casualty of leaked documents from a Panamanian law firm. Nathan Frandino reports.
Iceland's Prime Minister Sigmundur Gunnlaugsson is the first victim of the Panama Papers... the leaked documents from Panamanian law firm Mossack Fonseca which have sparked an outrage over how the wealthy stash their cash and avoid taxes. His party announced his resignation on Tuesday. It came shortly after a clearly uncomfortable Gunnlaugsson walked out of a television interview with Swedish broadcaster SVT. The documents in question showed that Gunnlaugsson's wife owned an offshore company with a $4.1 million bankruptcy claim on the Icelandic banks which failed in 2008. After the news broke, thousands gathered outside parliament to protest against the prime minister's failure to disclose what they saw as a conflict of interest. And his resignation may not be the end of the international controversy raised by the Panama Papers. The documents have also named friends of Russian President Vladimir Putin, relatives of the leaders of China, Britain and Pakistan, and Ukrainian President Petro Poroshenko.