Lies and deceit over the EU Bail Out of Ireland!

The Irish Times this morning publishes details of the means whereby Ireland was compelled to surrender its sovereignty to the European Union and the International Monetary Fund. As this action was the forerunner to the final surrender of democratic governance for some 500 million Europeans, (as the Eurogroup chief, Jean-Claude Juncker, made clear to a conference this week, as reported by the EU Observer, linked here,) it is worth reading closely as a guide to how other former nation states may be brought in to line should they refuse to quietly accept economic hegemony from Germany, at present being installed with the backing of France's President Sarkozy.

I have selected certain passages which are the most critical in my opinion:

"At a meeting of EU finance ministers in Brussels on Tuesday, November 16th, the pressure on Ireland had become intense. State secretary at the German finance ministry, Jörg Asmussen who attended the meeting, said: “It was made very clear to the Irish finance minister that it is not just about Ireland. The functioning of the currency union was at stake.”
"At that meeting Asmussen’s boss, Wolfgang Schäuble, Germany’s finance minister, pressed Lenihan to hold a press conference immediately after the meeting to announce an application for aid. Lenihan responded: “I refused and said I wouldn’t participate on that basis; that my government had the sovereign right to decide how it conducted these discussions.”

...."The troika believed only radical measures had any chance of restoring confidence. Lenihan recalled: “It became clear to us that the European solution was to stuff the banks with capital and see would that generate confidence in them.” He added that the amounts involved “stunned my officials in their sheer scale and size.”

...."Lenihan said disagreement on tax issues with the commission had not been on corporate tax, but on *value added tax, with which the commission had an “obsession”, he said.

"Germany’s Asmussen provided the clearest statements to date on the reason for rejecting the government’s proposal to haircut senior bank bonds. He said it had not been tried in the past and “we have no idea how market participants and investors would react”.

When asked if other countries should share the cost of bailing out senior bondholders in Irish banks, Asmussen raised the multibillion euro cost to German taxpayers of HRE, the bailed-out parent bank of Dublin-based Depfa, saying that the major problem stemmed from its Irish operations.

*Blog editor's added emphasis, to highlight the fact that the EU's "own resources" from which these unspeakable scumbags depend for their lavish, undeserved and unearned - lifestyles, income and pensions all presently depend upon VAT

Pillars of western capitalism tremble!

Two reports of particular concern to this blogger, have been made public in the past few hours.

The first, revealing what has seemed obvious to this non-involved, indifferent observer, for some time is the large fall in profits at Goldman Sachs, one report, linked here, contains this startling statement:

Goldman Sachs dropped $4.17, or 2.7 percent, to $159.61 at 12:31 p.m. in New York Stock Exchange composite trading, reaching the lowest level since Oct. 5. Net income slid to $2.74 billion, the New York-based company said today in a statement.

Chairman and Chief Executive Officer Lloyd C. Blankfein, 56, depended on trading and investments with the firm’s own money to generate 79 percent of first-quarter revenue. The investing and lending segment, which accounted for 23 percent of revenue, is unreliable because results are tied to market moves and because regulators might add restrictions to the business, said some analysts and investors.

The second, far more worrying IMHO, implies the deliberate manipulation of Libor, which forms the basis for financial adjustments in many "real" (ie non intra-financial institutions) commercial dealings. Read here. When I used it foe large oil company contracts, I was assured by my financial and accounting specialists, that LIBOR was the Gold Standard of independence, is this still the case?

If Libor has been fiddled, where has trust now found a home?

Greek 2 year yields now 21% and 10 years 13% - EU says default unlikely!

The headline gives a clue to the insane mess the EU has become. In Canada readers of the Globe and Mail, linked here, could read this chart over their waffles and maple syrup:

Perhaps in Canada some readers may believe the EU spokespeople who claim the Finnish election will not affect the Portuguese bail out, Ireland can live with its EFSF package, Greece will not default or restructure its loans and Spain has no problems any longer.

Surely few living in the nightmare world that the EU has become, (as described by Nigel Farage MEP in the video clip in the posting beneath this) will not believe any of it for one single moment!

Here comes the EU's sub-prime moment!

City A.M. editor Allistair Heath makes that prediction in his morning newswire, linked here.
With Greece in near anarchy, Portugal's Socialist Party refusing to pay for a bail out the Finnish elections have already torpedoed this all seems fairly obvious. Note these quotes however:

HUMAN beings have an infinite capacity for self-delusion, especially when it comes to matters financial....

Greek debt is too high, the interest rates it has to pay too elevated, its underlying economy too feeble – it is now in a vicious circle from which only bankruptcy can deliver it. Greece will default – it is merely a question of when and what proportion of their debt the bondholders will lose. A third, equally important question, is whether Greece will become the first country to quit the euro and maybe even the EU – either because it is kicked out, or because its electorate refuses to become a EU protectorate and walks out of its own accord.....

Last but not least, the European establishment needs to accept that the single currency and the EU’s model of economic management has failed as badly as sub-prime mortgages failed in the US. Unless Europe accepts that its experiment is ending in tears, no progress will ever be possible.

 Feel like crowing perhaps, watch the video on my first posting of today!

But then worry over the consequences of this disastrous mis-governance over so many years, as the resultant state of near anarchy is described in The Guardian, linked here,  from Greece.

France may get In or Out EU Referendum

Marine Le Pen, leader of France's National Front party, whose predecessor, her father, once made the run off for the French Presidency seems to be promising French voters the chance of an in or out EU referendum according to reports from Milan.

In a separate move, also indicating the imminent end of the non-democratic EU, Bloomberg are reporting the the Deputy German Foreign Minister has now publicly accepted that Greece will default, making all the massive sums of money poured into the EFSF, some of it in supposedly disconnected British pounds, completely wasted.

Why the Euro is doomed!

H/T The Boiling Frog.

Rigging Opinion Polls in Finland!

This blog has previously pointed out the risks to the EU rescue funds from the rise of the True Finns party in the opinion polls prior to the General Election in Finland which concludes this Sunday.

The latest opinion poll shows this 'Anti-EU Bail Out' party falling to fourth place 16.9% versus the top placed National Coalition Party holding 20.2%. Note the narrow gap between these returns, particularly in the light of the following proviso provided by the newspaper publishing the poll, linked here, as follows:

The reliability of the HS Gallup, like that of other polls, is weaker now than in previous Parliamentary elections, and uncertainty is greatest in the numbers of the True Finns – at least four percentage points in either direction.
      The reason for the uncertainty is that with the recent sharp increase in support for the True Finns, the final decision that the voters make on Election Day could easily change.
     
In addition to their party preference, respondents to the poll were also asked about the certainty of their choice. Of all of those who have not yet voted, 32 per cent said that they might reconsider.
      Supporters of the Green League were the most uncertain, with 48 per cent saying that they might vote for another party in the end.
      Supporters of the Social Democrats and the Centre Party were found to be the most certain of their choice.

Given the fact that the EU, since the Gödöllö (Hungary) Declaration of 8 April 2011, has clearly turned from being merely non-democratic to being actively anti-democratic, is it not possible to discern clear polling manipulation where the True Finns, in fourth place, are merely 3.3% behind the leaders while they themselves are the ones chosen as subject to an accuracy margin of 4% either way. It seems that for the EU it is the headlines that count!

On these figures it appears obvious that there will be no Parliamentary majority for the imposed Portuguese bail out following Sunday's election. The Finnish Parliament will then be the next in line to be steam-rollered by the EU, following on from Britain (in signing on to the EFSF when no parliament was sitting) Greece, Ireland and Portugal.

Further reading on these crucial elections in Finland - VOA, WSJ, Finfacts Ireland and Reuters Africa.

Sadly Bruno Waterfield leaves EU Observer.

The last posting of one of the few clear eyed observers of the EU scene reporting on the EU Observer, Bruno Waterfield, is departing (reasons unstated).  His final post, well worth reading is linked here, aptly titled 'Last Post for Portuguese democracy'.

A Reuters report on the burning necessity for a Greek default is also worth reading, linked here.

Pig Ignorance and Greed,

Roger Bootle, Managing Director of Capital Economics, describes how the Euro is being deliberately driven onto the rocks in the Daily Telegraph this morning, linked here.

Although Mr Bootle describes what this blog has been endlessly repeating for years, it is worth reading because Capital Economics is listened to by the markets, and as is described in a link from its own website, here, recently topped a Wall Street Journal Poll on the accuracy of its economic forecasts.

The treacherous villains who make up the EuroGroup Ecofin Committee under Junker, would have been unable to have continued their disastrous policies for so long, were the idiot traders sitting before their screens 12/24 and reacting just as their string pullers intended, raised their eyes and turned on their brains for an hour or so each day and considered the reality of the world beyond their trading rooms.

There is a global banking crisis, as Gordon Brown finally admits this morning here and the report from Sir John Vickers due out later today will surely reveal. The naked greed combined with the pig ignorance of the typical traders employed by the banks, hedge funds and other market 'players', to daily speculate on the fruit machine monitors before them, must surely shoulder much of the blame for the West's present dire straits, especially as the stakes they use are the squandered resources of taxpayers and the winnings being solely returned to their own bosses for distribution in bonuses.

How much must Greece and Ireland pay towards Portugal?

After whatever sordid deal is cobbled together in Budapest today, the question in this post's heading will be that to first consider. As the crisis moves to Spain, how much will Portugal then have to contribute to save the Spanish, continue the sequence and the absurdity of present events will be obvious, surely, to all.

Consider another aspect of the Euro crisis, from the headline in the Irish Times this morning:

ECB interest rate hike to affect over 75% of Irish homeowners

The article itself may be read from here. Remember Irish taxpayers are already having all their pips squeezed to satisfy the EU and IMF (Ireland's real rulers) who are presently in Dublin to ensure that the new Irish Government does nothing outside the terms of the rescue fund, now disclosed as never having been approved by the former cabinet!

Surprise, surprise, this morning some good news, a mainstream media journalist in the UK has awoken to the dangers from the Euro, read Peter Oborne in the Telegraph from here, finally twigging what this blog and its forerunner have been almost daily stating for eight long years.

Portuguese Caretaker Government crumbles under EU Coercion

The Government of Portugal, which initially resigned, in order to avoid the humiliation of applying to the EFSF (which event is incidentally estimated to cost Britain £4.4 Billion according to a Daily Telegraph report, linked here, this morning), has now been forced to comply with the formality of requesting assistance from the EU and IMF.

This procedure satisfies the requirements of the autocratic, non-democratic and totalitarian EU, but drives a coach and horses through the constitution of the Portuguese nation state and any remaining pretence that democracy now survives in any corner of the once fully democratic 27 member nation states.

As the Portuguese caretaker government buckled, and did not allow default for  the EU's discredited and ill-investing banks, the EU debt crisis must presumably now roll on towards Spain, with Italy and France on the ever nearer horizon.

EU steps closer to destroying its first member state. Ecofin endgame looms!

EurActiv carries the report, linked here, of the likely first successful conclusion of the dismemberment of a founding member state, in this case one of the original six founding countries and the one providing the main home base to the now clearly thoroughly evil institution. The following are extracts from the linked report:

The French-speaking Belgian community will adopt the name "Federation Wallonia-Brussels," it emerged yesterday after a debate in the Walloon parliament in Namur.....

The article later continues with this startling further explanation:

The political declaration, which has not been enacted at federal level, was announced yesterday (4 April) by Rudy Demotte, premier of the Wallonia region and representatives of Belgium's four biggest French-speaking parties – the Socialists (PS), the liberals (MR), the centre-right (cdH) and the Greens (Ecolo).

"In this framework, the four French-speaking parties state loud and clear that for them, the Brussels-Capital Region would never be transferable to another entity," Demotte stated.

The EU has fostered a policy of denigrating nationhood with just such an end clearly in mind. Nation's remain the sole guarantors of democracy and individual liberties for all the people finding themselves today locked in the totalitarian grip of the EU, now clearly heading towards federation, as announced by the head of the ECB on Monday evening, as reported on this blog yesterday, which speech has been almost everywhere else deliberately ignored in the mainstream media.

Prime Minister Cameron has made himself absent from the country while these events are underway, leaving the nation under the control of his Deputy PM Clegg; himself a clear agent of the EU.

An emergency debate should be called in Parliament ahead of the Budapest Ecofin, where the federal arrangements will likely be finalised, if the Euro currency (given events in Portugal) is to be saved from its deserved collapse.

A timely Telegraph warning on the economic catastrophe ahead!

Sunday mornings provide time for quiet reflection. Chew over this article in the Sunday Telegraph, by Liam Halligan, chief economist at Prosperity Capital Management, and contemplate the approaching economic Armageddon now faced by both Britain and the USA. A quote:

The only currency the White House understands is power politics - and Beijing is turning the thumb screws. Xia Bin, a long-standing adviser to China’s Central Bank, recently referred to the unbridled printing of dollars as “the biggest risk” to the global economy. “As long as the world exercises no restraint in issuing dollars,” he wrote, “then the occurrence of another crisis is inevitable”.

Were it to happen, another round of money-printing - QE3 - would cause a major diplomatic protest led by countries America cannot afford to upset. The US government also knows, although it denies it, that the more money it prints, the more speculative pressures push up global food prices. While the causes behind current Middle Eastern unrest are complex, it was surging food price that provided the spark.

The danger now is that when QE2 ends in less than 12 weeks’ time, global markets will be rocked by a surge in Treasury yields. Since mid-2009, QE has been used to buy up, along with dodgy mortgage-backed securities, swathes of US government debt.

This is how the Obama administration – and the British Government too - has been able to keep spending. Once the Fed exits the Treasury market, though, not only will the fiscal pump-priming stop, but US debt-service costs could balloon.

The EU will concurrently have to find a home for the debts resulting from the recent mysterious activities of the ECB, bad news for any Euro Group members with elections due!

Living in the EU Loony Bin!

The following dose of rare common sense comes from an article in the Telegraph this morning, linked here:

Mark O'Sullivan at Currencies Direct pours scorn on the ESM. He says:

“The irony of asking both Greece and Ireland, who both had to be rescue last year, to contribute €31 billion to the newly formed ESM did not seem to bother eurozone leaders.

“This once again showed that eurozone leaders just do not get it: asking sovereign states who are in effect insolvent to actually borrow in the debt markets to contribute to their own rescue fund.

“The Portuguese are a classic case. They still refuse to ask for a bail-out, but are more than happy to bring down the government when the austerity measures that are needed are voted down, forcing the prime minster to resign, and pushing them ever closer to the bailout they are trying to avoid.

“So Portugal - now a government-free zone - is also being asked to stump up €18 billion towards the ESM, despite the fact they could be weeks away from themselves being bailed-out. The eurozone would be much better suited if the next rescue package had the acronym HELP, as until bondholders are forced to take a haircut the problems in Europe are being either ignored or compounded into an unworkable mess.”

NB This blog editor added the emphasis to the last sentence of the quote!

UK's Telegraph group finally sees the light on the EU!

The Telegraph newspaper has selected Peter Oborne to trumpet their conversion to seeing common sense. The entire article is worth reading in full, from here, as it confirms exactly what this blogger has been pointing out for years in even greater grisly detail. I have selected a few choicer quotes:

"The resignation plunges the eurozone into a crisis it cannot survive....

"The scary truth is that the scale of the problem facing the eurozone has been gravely underestimated by British commentators. The reasons are shaming. One significant factor is the financial and economic illiteracy of political journalists and foreign correspondents.....


"But the most important problem is the failure to study history. Here the facts are devastating, and bear repetition. Portugal has defaulted on its national debt five times since 1800, Greece five times, Spain no less than seven times (and 13 times in all since 1500).

By contrast, Anglo-Saxon countries rarely, if ever, default.....

"Sarkozy and Merkel are dreaming. They are out of their depth, struggling against forces they cannot control and which will in due course wash them away. It is economic reality, not political speeches.....

Portugal and Belgium - two ex-nations boasting EU Presidents, both with democracy destroyed! Co-incidence?

Hardly can there have been a greater crisis than that being faced by the EU this evening.

Can two individuals, the Portuguese, EU Commission President and the Belgian, EU Council President, not more perfectly epitomise the institution that is effectively destroying the countries of their birth?

Can any doubt the personal motivations of these two men? Surely there can be little question but that it is money and power! Is it co-incidence that their appearance itself forces major doubts of their sincerity?

Why do other nations, with longer democratic histories and greater reasons for national pride, wish to follow in the footsteps of where these so-called "presidents" lead? Are Ireland and Greece the new role models?

Who is really pulling our strings and so determinedly destroying our individual choices and family well-being?

Who is John Galt?

EU/Irish face-off over Interest/Tax Rates Continues. Passarelle purgatory for the UK

The German Finance Minister, Wolfgang Schauble, backed by his colleague from France, Christine Lagarde, made the following statement yesterday, as may be read in the concluding paragraphs in this report from the Irish Times:

... German finance minister Wolfgang Schauble said that Ireland must make “proposals” if it wants a reduction on the interest rates.

“When someone wants to change a contract which he has just agreed to, then he has to think not only about what the other party to the contract should change, but he must also come up with suggestions about what he can change himself,” he told reporters.

France’s finance minister, Christine Lagarde, took a similar line.

“Today we decided nothing on Ireland because we had no indication from our Irish colleague of any kind of modification,” she said.

What was deceided was a new seven hundred billion euros fund to guarantee future bail outs across the EU, only being used once Germany and France have established complete and absolute control over the running of the economies of all other former nations within the Euro Group.

Complacent Brits such as the conceited Cabinet Ministers of the Coalition Government, should read the Lisbon Treaty and awake to the fact that their nation is committed by Treaty to joining that very same Euro Group, that they will be bound by all provisions then in effect for the common currency, that this will occur sooner rather than later due to the bullying now an everyday occurrence within the Euro Zone and the power the Euro Zone will soon control to create a currency crisis for the pound sterling.

This is economic warfare, it has been ongoing since the Macmillan and Wilson Premierships*, which deliberately destroyed EFTA.  The British nation has subsequently been driven up a cul de sac by weak politicians while the final end game is about to begin, with the use of the Lisbon Treaty passarelle, in the Westminster parliament tomorrow.

*Two Harolds who lost us our country as effectively as their namesake in 1066!

The Mawkish Madness of Mrs Merkel.

From last week, only German voters will any longer have democratic say in the running of the 27 former nation states of the EU!  Germany's leader, Frau Merkel was proclaimed triumphant as she swept all before her at the EU summit which ended last weekend!

11 - 3 - 11 the date of that EU meeting, would thereafter be symbolically carved on the tombstones of Europe's democracies, just as this blog surmised but feared on the morning of that day.

Yet it was another event, occurring almost simultaneously that day, in Fukushima, as long feared, whose consequences now highlight the enormity of the disaster into which the EU is sleepwalking, and the idiotic ludicrousness of Europe's almost half a billion citizens, putting their fate into the hands of such an electorate and the kind of leaders it produces, leaders crying out to be replaced by saner,  no doubt crueller and therefore potentially non-democratic versions of humanity.

How long will the Germans allow themselves to be ruled by feminine intuition and impulsive emotionalism and what will their replacements' attitude be to their deliberately economically crushed, and therefore fawningly dependent, subjugated neighbouring states?

Der Spiegel, has an article, linked here, claiming that Mrs Merkel's announcement of the immediate shutdown of several older nuclear power stations in Germany, (following the tsunami in Japan) is based on political calculations in the face of local elections in Germany due this month. It is headlined as follows:

Moratorium Seen as Ploy to Placate Voters

Enough said?

Watch Obama admitting he owns the Worldwide Credit Crisis!

As Bernanke's printing presses continue to race and the poorer nation's of the world revolt in response, the following nine minute video shows evidence that US President Obama, now overseeing the trashing of the world's one reserve currency, following in the footsteps of Presidents Carter and Clinton, deliberately forced America's banks into making the unsound loans, the consequences of which are yet to be fully seen. The video clip lasts 9 minutes, watch it through for the real shock comes right at the end, when it becomes clear that all this was known even before Obama was elected!

Ireland - 'Financially Vaporised'

Following from my posting below on 'Democracy - Defied and Denied,' Mary Ellen Synon, in her Daily Mail blog, this morning, has a brilliant exposure of the farce which occurred at Helsinki, linked here, from which comes this startling quote:

In the present crisis, ‘Ireland experienced an increase in Government debt of circa 220 percent.’ In historical terms, the Reinhart-Rogoff research shows that an 86 percent debt level increase would classify us as being seriously bust. But 220 percent would, as Dr Gurdgiev puts it, classify us ‘as having been financially vaporised.’

We have been financially vaporised because the out-going Finance Minister was obedient to Jean Claude Trichet, the head of the European Central Bank. Mr Trichet told the Minister to guarantee all the bank debt and the Minister obeyed. This debt was in great billions owed to German banks. Some to the French banks, too, but spectacularly to the German.

You must know all this by now. We have been financially vaporised so that Angela Merkel’s under-capitalised, badly-performing German state banks get back all the money they so stupidly lent to Sean FitzPatrick and the rest. That is why the Chancellor dismissed Mr Kenny at Helsinki, and why she will do so again on Friday in Brussels. If it is a choice between the truth coming out about her own country’s banking crisis, and drowning the Irish taxpayer in debt – well, as far as Mrs Merkel is concerned, just drown the Irish. Glug, glug, glug.