Although most banks have copped a plea over rate rigging, money laundering
and PPI fraud and won't be appearing in a court room any time soon, that still
doesn't stopindividuals or class action law suits taking place. We should remember that "mis-selling" in banking parlance is viewed as
"fraud" in the public's vocabulary and that is why they copped a plea to stop
court actions to test this position. We have seen a few of these private cases
already happening in the USA from large investors and considering the banks have
virtually admitted to fraudulent activities or in their words "mis-selling", the
evidence is sitting there to take them to court for having all manner of common
banking products being rigged against the customer.
Up till now its only the large organizations who have taken the steps to sue
the banks but there's no reason why it shouldn't dribble downwards to Mr. &
Mrs. Joe Public with a 100k mortgage or an investment whose costs or returns
were adversely affected by interest rate rigging. Then there's the common cash
ISA's which millions of people have in the UK let alone normal savings. Just
how much would that cost to re-imburse people for lost interest.
All that needs to be proved in court is that your banking product was
adversely affected by your bank rigging interest rates, commodity prices, power
costs, etc, etc and the banks are f***** big time. This is the reason the
banks have caved in so easily to the regulators to try and deflect the small
investor from taking legal action. However, it won't be long before claims company's create a simple program to
figure out how much extra a borrower paid on their mortgage due to the illegal
actions of banks and then sue them for compensation and of course their 30% cut.
If the banks think they're nearing the end of their self inflicted troubles,
don't believe a word of it as there is a lot more to come and some banks will
more than likely go under. For savers and perhaps investors, its probably a good move to rate the banks
on their exposure to self created criminal behavior and if your bank is in the
top 10 banks for future 'fraud' compensation, then pull your savings before they
go bust as the FSCS has limits to compensation whatever the government says.
Remember, you heard this first here as I predict that within a year we'll see
banks paying compensation on inflated & manipulated mortgage interest rates....
The upper echelons of the EU are showing their mastery (or maybe only their determination) in hiding unconvenient things from the public once again. Interesting to note, that during the start of the Target2 discussion in Germany, a Germany economist did an analysis of the collateral, that southern states had provided for their Target2 liablilities. And the result had been quite shocking, from Spain, he found a loan by Real Madrid, that had been created to buy Christiano Ronaldo and from Portugal there was something, you could call a really long-term bond, since it had an interest rate of 0% and a maturity time of 9999 years (and thats not a typo).Basically - as they proclaimed - the ECB will do "everything" to prop up the south, no matter how risky or legit, as long as they can plaster over the cracks of EMU.
And hey, after all the South has the absolute voting majority in the ECB directorate. Why so shy showing that you are damn well using it?
The upper echelons of the EU are showing their mastery (or maybe only their determination) in hiding unconvenient things from the public once again. Interesting to note, that during the start of the Target2 discussion in Germany, a Germany economist did an analysis of the collateral, that southern states had provided for their Target2 liablilities. And the result had been quite shocking, from Spain, he found a loan by Real Madrid, that had been created to buy Christiano Ronaldo and from Portugal there was something, you could call a really long-term bond, since it had an interest rate of 0% and a maturity time of 9999 years (and thats not a typo).Basically - as they proclaimed - the ECB will do "everything" to prop up the south, no matter how risky or legit, as long as they can plaster over the cracks of EMU.
And hey, after all the South has the absolute voting majority in the ECB directorate. Why so shy showing that you are damn well using it?
7 comments:
So if I could just make sure I am getting this right...
i) The Greeks inflate their economic prowess to get into Europe.
ii) They spend borrowed money like drunken sailors.
iii) The creditors point out that they would not really mind if Greece repaid some of the vast sums that they had loaned them.
iv) The Greeks say 'sorry, we blew it on some really dopey public sector benefits, however it is not compatible with our human dignity to pay it back'.
v) The creditors write off vast amounts of debt and the undeserving Greeks get let off with billions.
vi) They the government do a little bit (but not much) to pay off a proportion of the loans
vii) Then the country finds that reality bites and the economy goes even further down toilet than it was in the first place.
vii) Then the public sector unions go on strike because they want the country to be let off with all of its debt; be given vast amounts more to lavish on its undeserving populace and probably more when that is used up.
Perhaps the Greek public sector workers could share with us when they will stop begging for other people's money to fund a state which cannot control itself, feed itself or even run itself.
Could Marks & Spencer not take over Greece and run it properly?
Little or no mention in the press of the latest Spanish unemployment figures, up 128.000 to 4.833.521 million, a horrific number, which would be even worse were not immigrant workers departing in droves. The headline percentage figure of those out of work (over 25%) has been buried away by the Spanish press. It seems that throughout Europe, including the UK, the press is under instructions to underplay the severity of the crisis engulfing Western Europe.
The Spanish government now has no chance of hitting its deficit reduction targets, the extra unemployment costs and reduced tax take proving once more that the austerity prophets are totally our of touch with reality.
It took the Spanish authorities four years to acknowledge the holes in its pack of cards financial system, the British authorities have yet to do so. So be prepared, what's happening to Spain today, might happen to Britain tomorrow.
The banking system must be allowed to go the wall and austerity madness - in place to save the bankers - must be abandoned by Europe.
Greece understandably dominates the news, but cyprus is (finally) getting some coverage.
Cyprus denies claim it's Russian dirty money haven (huffington post)
The exact sum Cypriot banks will need won't be known before early next year when investment firm PIMCO and auditors Deloitte finish combing through the lenders' books. Shiarly said not having an exact figure won't keep the government from getting a bailout deal swiftly.
Well, he's wrong, it will. Does he really think the Bundestag will sign off without hard (-ish) numbers? That stress test by Pimco was announced in september. Why is it taking so long?
Although Shiarly said the government has enough cash on hand to pay public sector salaries for the next couple of months, state coffers are drying up fast.
He's variously said the money runs out in late november or, maybe, december, in past weeks.
The SZ also reported that the two out of the three troika inspectors (for ECB and EC) have been ready to go to Cyprus for several days. The IMF was apparently waiting on an OK from Lagarde.
Rich banks, poor state (spiegel, german)
reports amongst other things that the german parliament will probably want to see a lot more transparency in Cyprus's "business model"
I always have a, slightly frustrated looking, smile on my face when I read responses to people who suggest voting for, for example, UKIP. Things along the lines of, (SIC) Nigel Farage can’t manage his own bank account”, or whatever.
I think it was Einstein who defined insanity as doing the same thing over and over again and expecting different results. So it is with voting! It has nothing to do with voting for UKIP or any other of the smaller parties, it’s about NOT voting again and again for the three main parties. If you continue to vote for them you can’t expect anything to change, and it won’t. The only way they will change direction is if we summon up the courage as voters to change the way we vote. If the people of this country went out at the next GE and voted for anybody but Lab or Con or Dem things would change pretty pronto. If you don’t like UKIP, pick something else. But then you have to be pretty grown up to do that sort of thing, and reading some of the responses I mentioned, well......they don’t really seem to be from grownups at all do they?
or Caldeira, the ECA's chairman, said that auditors had "found too
many cases of EU money not hitting the target or being used sub-optimally".
Used sub-optimally:- a very polite way of referring to corruption on steroids in the use of EU grants.
There is no way that the EU will ever get auditors to sign off the books, not even by the time the Earth is about to be engulfed as the sun becomes a red giant.
The EU plays the blame game.
It says it is not to blame as its the local states that spend the money. Accountants know the money is being used corruptly but can do nothing about that except not to sign off the accounts.
The EU chief accountant was dismissed because she highlighted the corruption see http://www.ft.com/cms/s/0/25a9... and http://www.bloggers4ukip.org.u...
Nothing can ever change because at its heart the EU is democratically unaccountable. There can never be any pressure to reform and/or improve.
Yet again the disclosure that the EU budget is being managed in a less than democratic manner - what is it about the accounts that the auditors just cannot stomach?
Whatever, this is becoming another vote winner and support-getter for UKIP.
The EU as an institution is nothing like what we voted to join in 1975. Why are our elected politicians making such a meal of giving us a free choice and vote about Britain's future?
British opposition to Brussels budget increases hardened on Tuesday after the EU's auditor failed to give a clean bill of health to £89 billion of spending ﾓaffected by material errorﾔ.
The European Court of Auditors reported on Tuesday that controls over 86 per cent of the EU budget last year were only "partially effective", a conclusion that has further polarised the battle over European Commission demands for a sharp rise in spending.
Vitor Caldeira, the ECA's chairman, said that auditors had "found too many cases of EU money not hitting the target or being used sub-optimally" at a time when national public spending was being cut and the eurozone was imposing austerity targets.
"Times are hard. With Europe's public finances under severe pressure, there remains scope to spend EU money more efficiently and in a better targeted manner," he said. "EU financial management is not yet up to standard."
Despite 18 years of critical reports by the auditors, the Commission and European Parliament have defied calls for austerity measures at the EU level by demanding an 11 per cent increase to long-term Brussels expenditure from 2014 to 2020.
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