Remember when FDIC and Bank of England drafted a paper explaining that the next bail out of the big banks would actually be a bail-in? So, according to Ellen Brown, author and public banking activist, the FDIC and Bank of England have co-authored a paper, which readers can see here: https://www.fdic.gov/about/srac/2012/gsifi.pdf that describes how Americans will once again, or rather still, be on the hook to pay for bankers’ gambling problems, which will now be depositors’ problems. Apparently, the public backlash over having to bail out the scum who coined the term IBGYBG (I’ll be gone, you’ll be gone—so let’s screw the public while we can!) was too much for the bankers’ fragile egos to bear, so now they plan on just taking depositors’ funds to pay for their stupid decisions.
This might be a good time for all of us to reconsider where we are banking. Of course, this is all documented in a public paper that is cryptic and hard to understand for normal people who are not total scamming scumbags like these bankers, which is how they get away with this crap.
How did good risk management become synonymous with “let’s just make the public or our customers pay for our party?” These bank CEOs are paid tens of millions of dollars or more (compensation for their ability to manage risk) for just deciding to pass their debts on to the rest of us by lying and telling us the economy will crash if we do not pay up (then of course the economy crashed anyway). Wow! I can hold a metaphorical gun to someone else’s head and make them pay for my debts? Give me millions of dollars then! This country seriously needs to re-think who deserves to be well compensated financially and for what reasons.
Brown does a pretty good job of deciphering the arcane paper for the rest of us in this Huffingtonpost.com article; here is an excerpt:
“Confiscating the customer deposits in Cyprus banks, it seems, was not a one-off, desperate idea of a few eurozone troika officials scrambling to salvage their balance sheets. A joint paper by the U.S. Federal Deposit Insurance Corporation (FDIC) and the Bank of England dated December 10, 2012, shows that these plans have been long in the making; that they originated with the G20 Financial Stability Board in Basel, Switzerland; and that the result will be to deliver clear title to the banks of depositor funds.
Few depositors realize that legally, the bank owns the depositor’s funds as soon as they are put in the bank. Our money becomes the bank’s, and we become unsecured creditors holding IOUs. But until now, the bank has been obligated to pay the money back as cash on demand. Under the FDIC-BOE plan, our IOUs will be converted into ‘bank equity.’ The bank will get the money and we will get stock in the bank. With any luck we may be able to sell the stock to someone else, but when and at what price?”
If you bank at one of the “Systemically Important Financial Institutions” that will be using this strategy in the future (read: Too Big to Fail Banks), you might want to change banks. Just saying.
Read the rest here: