Bailout Fail

Ireland votes to liquidate Anglo Irish Bank

"Anglo Irish Bank will be liquidated under the plan and its outstanding debt will be converted into a new long-term bond intended to spread the repayment over a longer period of time cutting the cost to the state. At present, the Irish government must pay €3.1bn (£2.7bn) every year to service the debt it took on to rescue the bank, equivalent to about 2pc of the country's GDP. The lender's collapse in 2008 forced the government to provide a guarantee for the debts of the country's entire banking system. Ireland was eventually forced to request an €67.5bn bailout from the EU and IMF as the costs of the banking rescue proved too much." Continue reading →

Continue ReadingIreland votes to liquidate Anglo Irish Bank

Man trampled as hundreds of desperate Greeks scuffle for food

"A fruit and vegetable handout in Greece led to one man being trampled on Wednesday, calling attention to desperate conditions. Some 55 tons of produce was given away by farmers who were protesting high production costs. The chaos was sparked when food stalls ran out of fruits and vegetables, prompting dozens of people to rush to a nearby truck. It was an 'every man for himself' situation as the Greeks shoved their way to the front of the truck, competing for the food that was left. The 55 tons of food was completely gone in under two hours. A Reuters employee at the scene was hit on the head with cauliflower heads as he attempted to photograph the situation." Continue reading →

Continue ReadingMan trampled as hundreds of desperate Greeks scuffle for food

Greek Finance Minister Gets Bullet In The Mail

"Greece's finance minister was sent a bullet and a death threat from a group protesting home foreclosures, police officials said on Monday, in the latest incident to raise fears of growing political violence. The package was sent by a little-known group called 'Cretan Revolution', which warned the minister against any efforts to seize homes and evict homeowners, police sources said. The group sent similar letters to tax offices in Crete last week." Continue reading →

Continue ReadingGreek Finance Minister Gets Bullet In The Mail

Portugal warns EU-IMF troika to back off on austerity demands

"Portugal has taken its medicine with stoicism until now, winning praise from the EU leaders for sticking to its bail-out terms. But Troika officials fear that 'social cohesion' is fraying as the slump deepens. The country saw the biggest street protest this autumn since the end of the Salazar dictatorship. Portugal’s jobless rate has risen from 13.7pc to 16.3pc over the past year, reaching 39pc for youth, even before the full impact of austerity hits." Continue reading →

Continue ReadingPortugal warns EU-IMF troika to back off on austerity demands

Thought The Euro Crisis Was Over? These 18 Charts Show The Real Crisis That Lies Ahead

"The latest Eurostat unemployment figures released today remind of a far bigger problem that the eurozone now must face – staggering levels of youth unemployment across the region. Governments on the euro periphery – which desperately need to institute difficult economic reforms to put budgets on sustainable paths – receive little support from a younger generation that feels like its opportunities and its future have been crushed already by the very same actors." Continue reading →

Continue ReadingThought The Euro Crisis Was Over? These 18 Charts Show The Real Crisis That Lies Ahead

Now Greece Bans Cash – Again

"Greece is going to ban most cash transactions. As of last year, cash transactions over 1500 euros were banned. This moves the ban down by 1,000 euros. In fact, the Greek Parliament is voting today on a new tax bill that broadens the tax base to raise another 2.5 billion euros, and also introduces new annual income thresholds for salaried taxpayers. It does away with tax breaks for the self-employed. Entrepreneurs have emerged as the latest 'bandits' in Greece's ongoing efforts to bleed the wretched Greek carcass of its last available drop of revenue. Government benefits have been slashed, taxes raised and Greeks are being pursued with maniacal determination." Continue reading →

Continue ReadingNow Greece Bans Cash – Again

Full Disclosure: Lew Received a Million Dollars in Cash From Citigroup During Bailout

"Jacob J. Lew, President Obama’s presumed choice to lead the Treasury Department, has close ties to Wall Street, receiving more than $900,000 in bonus cash from a division of Citigroup just as the company was getting bailed out by U.S. taxpayers[...] Formerly chief operating officer at Citi Alternative Investments, a division of Citigroup, Mr. Lew received a bonus of $944,578 in January 2009, a payment that came days before he joined the State Department and later surfaced in a government ethics form. The bonus came on top of $1.1 million in other Citigroup compensation he reported receiving during 2008 and the first two weeks of 2009." Continue reading →

Continue ReadingFull Disclosure: Lew Received a Million Dollars in Cash From Citigroup During Bailout

Ireland Lobbies to Have Europe Share Banking Risk

"Irish Prime Minister Enda Kenny would ideally like to use the ESM as a way of getting European taxpayers to shoulder the risks associated with all the debts of the Irish banking sector. He intends to use the six months of his European presidency to push through a banking union that would also make the bailout fund responsible for dealing with toxic assets in the European banking system left over from the financial crisis of 2007-2008. The [existing] €68 billion ($90 billion) in bailout funds are only expected to meet the country's financial needs until the end of 2013." Continue reading →

Continue ReadingIreland Lobbies to Have Europe Share Banking Risk

Barter and Alternative Currencies Growing in Greece

"The issue of tax reporting is brought into the article – and an insinuation is made that people are dodging taxes by using these systems. But so far as we can tell, such systems need central bookkeeping, which is one reason why we figure the United Nations has been a supporter of them. Gold and silver are far harder to track for personal usage than barter/currency systems that use a centralized bookkeeping system. Are Greeks turning to gold and silver as well, as those in Zimbabwe have done once the economy collapsed? We would bet gold and silver are finding their place alongside such barter/currency systems." Continue reading →

Continue ReadingBarter and Alternative Currencies Growing in Greece

Greek debt crisis ‘far from over’

"After five straight years of recession, the eurozone's weakest link moves into 2013 with an economy set to further contract, unemployment at a record 26%, one in three living on or below the poverty line, and the worst of austerity yet to come. In the runup to Christmas, even the Greek finance minister, Yannis Stournaras, felt fit to admit that despite being the recipient of €240bn in EU and IMF rescue funds – the biggest bailout in global history – Greece could still default on its massive pile of debt, a move that would result automatically in exit from the 17-nation bloc." Continue reading →

Continue ReadingGreek debt crisis ‘far from over’