Responding to the report, which was spurred by the Tax Justice Network's launch of an international secretariat in London, chairman of the Malta Financial Services Authority, Professor JV Bannister observed that:

"By any international definition, Malta is not a tax haven. There is no banking secrecy. Malta's levels of professional confidentiality are no different from those found in London, Frankfurt or New York. All entities are subject to tax and the basic rate of tax is higher than in the UK."

He went on to add that:

"The standards of regulatory transparency in Malta exceed those of many large western economies. The details of the beneficial owners of all companies are accessible to the regulatory authorities and our companies registry includes the names of all directors and all company accounts. It is freely available online. Our regulatory standards are frequently tested and approved by all the global financial policemen."

"What was a finance industry catering for local needs is expanding to provide corporate and trade finance in the Euro-Mediterranean region, helping to build economic stability and progress in Malta, among our fellow EU members and in north Africa," his letter to the newspaper concluded.

Equally incensed was Swiss Ambassador to the United Kingdom, Bruno Spinner, who especially objected to the report's suggestion that assets looted by former Nigerian dictator Sani Abacha had not been returned to the Nigerian people.

"Thanks to the tightening of laws against financial crime and their systematic enforcement, the highly performing Swiss financial system has become a high-risk place for illegal funds," he wrote, explaining that:

"For example, the Swiss authorities have ensured that £75m looted from Nigerian coffers by Sani Abacha have been returned to Nigeria. Another £220m has been frozen pending the conclusion of legal proceedings instigated by Mr Abacha's family. Other African heads of state such as Mobutu Sese Seko, Charles Taylor or Eduardo dos Santos have also seen their funds frozen and restituted by Swiss authorities."