Bolitics "Nobody move, this a robbery!"

[Chindie]

So, how long until all of Cyprus is on fire?

[maqroll]

As soon as it gets dark tonight

[Awol]

The Cypriot Parliament seems to be getting the jitters (probably imagining themselves dangling from lamp posts) and they've pushed out the decision for another 24 hours. That means the banks are shut for another day and the level of panic/anger/frustration will keep building in the general public. If even if they decide not to do it now the confidence of people will be buggered.

Up to now all bank deposits up to 100,000 euro in any EZ bank were guaranteed by law. The fact that a government has considered stealing money from the private accounts of an entire nation is a game changer because it demonstrates that when it comes to saving the euro the rule of law no longer applies, there are no lines that won't be crossed. The alternative to the bailout scenario is Cypriot default and exit from the single currency, something that will not be allowed regardless of the consequences.

A very smart man called John Locke said:

AS usurpation is the exercise of power, which another hath a right to; so tyranny is the exercise of power beyond right, which no body can have a right to.

That's the EU today, in a nutshell.

EDIT: Cypriot Central Bank just announced the banks will remain closed until Thursday..

Edited March 18, 2013 by Awol

[snowychap]

EDIT: Cypriot Central Bank just announced the banks will remain closed until Thursday..

So will people be unable to access funds until then or is it just to stop scenes of people queueing outside banks?

[CarewsEyebrowDesigner]

It won't be long before they start arresting people for closing their accounts, just wait and see.

[Awol]

EDIT: Cypriot Central Bank just announced the banks will remain closed until Thursday..

So will people be unable to access funds until then or is it just to stop scenes of people queueing outside banks?

They can't access their accounts at all until then - assuming the date doesn't get pushed out further.

It won't be long before they start arresting people for closing their accounts, just wait and see.

See above. Those who managed to get some money out of an ATM before they ran dry (to try and reduce their balance and therefore liability) won't benefit either, the set % theft of their money will apply to the account balance at the time the deal was struck in Brussels.

[tonyh29]

 

EDIT: Cypriot Central Bank just announced the banks will remain closed until Thursday..

So will people be unable to access funds until then or is it just to stop scenes of people queueing outside banks?

 

They can't access their accounts at all until then - assuming the date doesn't get pushed out further.

>>It won't be long before they start arresting people for closing their accounts, just wait and see.

See above. Those who managed to get some money out of an ATM before they ran dry (to try and reduce their balance and therefore liability) won't benefit either, the set % theft of their money will apply to the account balance at the time the deal was struck in Brussels.

 

 so if you electronically wired all your money out to a bank in another country , presumably the Cypriot govt will still take their cut , forcing you into the red and then the bank will charge you penalties and an overdraft rate ?

Edited March 18, 2013 by tonyh29

[Davkaus]

Suddenly, keeping my cash under my mattress seems incredibly appealing.

[bickster]

I'd imagine they think they can get away with it this time because its a small island and half the people affected aren't EU citizens

 

It is absolutely outrageous though, yet again the little person gets dicked and the banks & politician get away unharmed

 

No bankers were harmed in the making of this policy

[maqroll]

It kind of seems like a trial run. Test it out on a tiny island nation nobody ever thinks about, and if it goes off without too much social unrest, move on to Portugal, Spain, Italy and Ireland. Might be time to buy some shiny metals.

[snowychap]

They can't access their accounts at all until then - assuming the date doesn't get pushed out further.

Blimey.

So Cyprus is cash transactions only until then effectively?

The BBC are reporting that the details of how the total levy figure is obtained are up to the Cypriot government/parliament (which seems rather typical in distancing the other Eurozone finance ministers from the blame for the decision making).

Edited March 18, 2013 by snowychap

[snowychap]

Might be time to buy some shiny metals.

Any particular calibre?

[Awol]

so if you electronically wired all your money out to a bank in another country , presumably the Cypriot govt will still take their cut , forcing you into the red and then the bank will charge you penalties and an overdraft rate ?

Tony they cannot access their accounts at all electronically or otherwise until the government unblocks the banking system - presumably to be done after they've finished looting their people's savings.

It kind of seems like a trial run. Test it out on a tiny island nation nobody ever thinks about, and if it goes off without too much social unrest, move on to Portugal, Spain, Italy and Ireland.

If I had money in the banks of one of those countries I'd be thinking the same. One consisent feature of the EZ crisis is outright denial that something could or would happen, right up to the minute that it does. Three weeks ago the current leader of Cyprus was saying this very event was unthinkable, but now those irritating elections are out of the way the pan-European bankster-politco alliance can resume their war against the people.

[CI]

This is all about Germany hitting laundered Russian criminal money. The simple law abiding savers are simply collateral damage.

Think this sets a horrid precedent that could mean a run on banks in espana italia and Greece

[privateer]

so if you electronically wired all your money out to a bank in another country , presumably the Cypriot govt will still take their cut , forcing you into the red and then the bank will charge you penalties and an overdraft rate ?

Tony they cannot access their accounts at all electronically or otherwise until the government unblocks the banking system - presumably to be done after they've finished looting their people's savings.

>It kind of seems like a trial run. Test it out on a tiny island nation nobody ever thinks about, and if it goes off without too much social unrest, move on to Portugal, Spain, Italy and Ireland.

If I had money in the banks of one of those countries I'd be thinking the same. One consisent feature of the EZ crisis is outright denial that something could or would happen, right up to the minute that it does. Three weeks ago the current leader of Cyprus was saying this very event was unthinkable, but now those irritating elections are out of the way the pan-European bankster-politco alliance can resume their war against the people.

 

I took Tony's scenario to be the same as your ATM one. That is, assuming you had transferred all funds out of Cyprus in that window between the deal and the system shutdown, you'd be liable for the % of what was there? That said, the only people likely to have done that are politicians and bankers.

[snowychap]

Gazprom Offers Cyprus Restructuring Deal to Avoid EU Bailout

Russian energy giant Gazprom has offered the Republic of Cyprus a plan in which the company will undertake the restructuring of the country’s banks in exchange for exploration rights for natural gas in Cyprus’ exclusive economic zone, local media reported.

Representatives of the Russian company submitted the proposal to the office of Cypriot President Nicos Anastasiades on Sunday evening, Sigma TV reported.

The proposal states that Gazprom will fund the restructuring of the country’s crippled financial institutions in exchange for substantial control over the country’s gas resources while Cyprus won’t need to take the harsh bailout package offered by the EU.

EU offered a 10 billion euros rescue package to Cyprus with the condition of raising 5.8 billion euros ($7.5 billion) by taking a piece of every bank account in Cyprus. The originally proposed levies on deposits are 9.9 percent for acounts exceeding 100,000 euros and 6.7 percent on anything below that.

Cypriot President Nicos Anstasiades is not willing to discuss the Russian’s offer according to Newsit who cited an anonymous source close to the President.

“The president is not going to discuss this plan because he wants a solution that will come from the EU,” said the anonymous source.

Shortly after the rejection of the Gazprom proposal, Anatoly Aksakov, the head of the Association of Regional Banks of Russia and a member of the Board of the Central Bank of Russia spoke to Interfax describing the country’s banking system as “not trustworthy” and advised Russian citizens “to withdraw their deposits from Cyprus.”

“Our belief, that Cyprus is a place where it is convenient for people to keep their money, will be undermined if the Cypriot parliament passes the decision of Eurogroup» said Aksanov.

Cyprus’s Parliament has postponed its decision on whether it will go along with a tax of up to 9.9 percent on the savings of bank account holders as demanded by international lenders in return for a 10 billion euros ($13 billion) bailout to keep the island country’s economy from collapsing. The vote that was due to take place on March 17 was pushed back to Monday, a holiday in Greece and Cyprus, when banks would be closed in any case.

Gazprom is the largest extractor of natural gas in the world and the largest Russian company.

[Awol]

so if you electronically wired all your money out to a bank in another country , presumably the Cypriot govt will still take their cut , forcing you into the red and then the bank will charge you penalties and an overdraft rate ?

Tony they cannot access their accounts at all electronically or otherwise until the government unblocks the banking system - presumably to be done after they've finished looting their people's savings.

>It kind of seems like a trial run. Test it out on a tiny island nation nobody ever thinks about, and if it goes off without too much social unrest, move on to Portugal, Spain, Italy and Ireland.

If I had money in the banks of one of those countries I'd be thinking the same. One consisent feature of the EZ crisis is outright denial that something could or would happen, right up to the minute that it does. Three weeks ago the current leader of Cyprus was saying this very event was unthinkable, but now those irritating elections are out of the way the pan-European bankster-politco alliance can resume their war against the people.

I took Tony's scenario to be the same as your ATM one. That is, assuming you had transferred all funds out of Cyprus in that window between the deal and the system shutdown, you'd be liable for the % of what was there? That said, the only people likely to have done that are politicians and bankers.

Right, sorry. They've confirmed that in that scenario people would still be liable, that said it appears to be changing all the time. Rueters now saying (no link, on telebox) that they may raise the bar for confiscation of funds to accounts with 100,000 euros and above on deposit. Maybe the grown ups have told the children in Brussels that starting a revolution would be bad for business?

Even if true it doesn't change the fact it's still daylight robbery though.

[Awol]

Gazprom Offers Cyprus Restructuring Deal to Avoid EU Bailout

Interesting! The under sea gas fields between Cyprus and Israel are thought to be huge, would make sense for Russia to want control of them otherwise they'd loose their stranglehold on energy supplies to central Europe..

Cyprus can't take that deal without leaving the EU though, no way it would be accepted in Berlin.

[CI]

This is a dangerous change in direction to the global financial meltdown. Very worrying.

[chrisp65]

by coincidence I've been in meetings with a Cypriot most of today, he was saying that he and his family have made enquiries today and they've been told there is another bank holiday tomorrow, but banks are 'probably' putting a freeze on transfers until atleast Thursday

 

the delay appears to be because they simply hadn't realised the local problems they'd encounter or the europe wide implications of bank runs. The people at the top, the people in charge, the experts that didn't see this coming also didn't realise what a retrospective savings tax would do during a recession. 'They' are so out of control, so out of touch, so disconnected that they didn't realise that taking the savings of the unemployed and the pensioned after promising they wouldn't would have massive consequences

 

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