The most remarkable story of the day comes from Ireland. Secret tapes released this morning give the clearest signal yet that senior bankers at Anglo Irish Bank deliberately tricked the Irish government into a rescue deal on 2008.
The recordings, released by the Irish Independent today, show John Bowe and Peter Fitzgerald discussing their request for €7bn of emergency funding to keep Anglo Irish running, once the financial crisis struck. The final bill was €30bn, helping to precipitate Ireland's own bailout. There have long been suspicions that Anglo's management knew the full scale of the crisis and hid it from the Dublin government, who fatefully decided to pick up the bill on the taxpayers' behalf. Our correspondent in Ireland, Henry McDonald, explains: On tape Fitzgerald asks Bowe how did he arrive at the figure of €7bn to which the latter replies: "Just as Drummer [the then Anglo Irish Bank CEO David Drumm now in exile and disgrace in Boston] would say, 'picked it out my arse.'" The conversation also tends to back up the view that Anglo Irish bankers knew that €7bn would never be enough to save the bank but once they had hoodwinked the Dublin government the taxpayer would keep picking up the tab. In their exchange Bowe says: "Yeah, and that number is seven, but the reality is that actually we need more than that. But you know the strategy here is you pull them in, you get them to write a big cheque and they have to keep, they have to have support their money, you know."
Here's Henry's full story: Irish bankers 'hoodwinked' government over bailout, secret recordings show
And you can listen to the recordings on the Irish Independent's site (the third recording, 'strategy', is the real humdinger).
4 comments:
An increasing number of people of influence seem to be getting the message, which is good.
The whole fraudulent central bankster-operated fiat money supply system needs to collapse and money to reflect value again. The inevitable collapse will cause a tsunami of financial collapses to governments, who will no longer be able to operate their ridiculous unfunded welfare states, and to banksters, who conjure up money with no backing in wealth. That is good, and the only way properly functioning capitalism can be restored.
The sooner it happens the sooner we get through it. It will be hard for those who live off money stolen from tax payers but they need to face reality sooner or later.
I just found this series of articles, which I thought many would find good reading:
http://www.zerohedge.com/news/...
There will only be one thing standing when the FT passes.
The FT is the financial tsunami.
No its not bonds.
No its not equities.
No its not gold.
No its not commodities.
No its not oil.
No its not Euro, Yen or Sterling.
It is the Big One!
Its US DOLLARS in cash.
Anticipate, stay ahead of the curve,
Don't react by being behind the curve!
The best we can hope for is a decade lost generation' so the longer it goes on, the worse it gets, and once interest rates rise, when central banks try to escape from the asset purchase programme, they will fail again.
legup
23 June 2013 7:38pm
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What law of goverment or economics says central banks must at some point sell the bonds they purchased with QE money, This system is not your credit card, QE was used to lower interest rates , give liquidity to banks and lower the interest burden on goverment debt, and the morgage market. If every overseas investor decides to sell their bonds and rates jumped up ,so what that liquidity is what is needed ,and the fed has unlimited fiat money to set any rate it wants
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