Why Cyprus?

I noted that people kept raising Cyprus as an example of a location for an untrustworthy banker. Is there any particular reason for that besides Cyprus being offshore and close to the euro-zone?

This might be a matter better answered by google or someone else who knows a great deal more.

But I believe the answer may gravitate towards the following points:

[ul]
[li]Lack of regulation (they can do whatever they want and not get their hands slapped)
[/li][li]Tax related reasons (tax haven?)
[/li][/ul]

FXDD does their transactions in Malta to avoid the anti hedging rule in America. I hope its a little more reputable than Cyprus because that’s where my account is.