In his article: Rampapalooza As Cyprus-Troika Reach Deal; Tyler Durden submits the following UPDATE: It appears the ‘deal’ to default/restructure the banks has been designed to bypass the need for parliamentary votes, since it is theoretically not a tax. http://www.zerohedge.com/news/2013-03-24/rampapalooza-cyprus-troika-reach-deal
So let me see if I understand this little game of shells, if they “theoretically” call it something other than a tax, then it will have no need to go through parliament for a vote. Sound at all familiar? This allows the ECB to literally swoop in and steal 20% of an individual’s deposit, over €100,000 and as high as 40% of the individual’s deposit confiscated if uninsured! In his article Tyler Durden states that while they have no idea what terms the President of Cyprus had to accept, what was finally agreed upon is the following:
- CYPRUS, TROIKA REACH AGREEMENT IN PRINCIPLE, EU OFFICIAL SAYS
- DEAL MADE AT DINNER WITH DRAGHI, LAGARDE, VAN ROMPUY, BARROSO
The terms, unsurprisingly what zee Germans wanted, are:
i) Laiki to be wound down;
ii) Bank of Cyprus to survive but with deposit haircuts of up to 40% for the uninsured, and
iii) deal would see secured deposits in Laiki moved to Bank of Cyprus.
In other words, a deal far worse then the original on proposed by the Eurogroup last week – when the banks still existed. The key appears to be the ‘saving’ of the insured depositors (crucial to avoid a pan-European bank run) and the crushing of the ‘whale’ depositors.http://www.zerohedge.com/news/2013-03-24/rampapalooza-cyprus-troika-reach-deal
It appears the big boys are playing hard ball now, with the tax payer’s money! They screw things up; bring their banks to the brink of disaster, bankruptcy and the tax payers, as usual have to bail them out, because heaven forbid they should actually have to face the consequences of their actions and poor business decisions and file bankruptcy! Heavens no, they are far too big to fail, if they did, well life on earth would cease to exist, the sky would fall, it would rain cats, and dogs and utter anarchy would ensue!
But is it a bail out, or, is it Larceny. The online dictionary defines it thusly: A criminal act in which property belonging to another is taken without that person’s consent.
The term theft is sometimes used synonymously with Larceny. Theft, however, is actually a broader term, encompassing many forms of deceitful taking of property, including swindling, Embezzlement, and False Pretenses. Some states categorize all these offenses under a single statutory crime of theft.
How interesting; so in these terms the big boys in the EU, the ECB and Parliament are not calling it a tax, to avoid having to bring it up for a vote. Well they can call it whatever they like, but Grand Larceny, is what is happening here, and under “False Pretenses.”
Now here is where it gets interesting, Cyprus put its banks into lockdown last weekend. Correct me if I am wrong, but when a bank is put in lockdown, nothing is coming into the bank and nothing sure as hell is going out right? Well it appears that despite the bank being closed and a lock for payments was put in place; in the past week, more money has been flowing out of the Cyprus bank then in previous weeks.
According to sources in Germany, Frankfurter experts report for payments. Before the escalation of the crisis in Cyprus accruing on the payment system, Target liabilities of Cypriot central bank to the ECB had increased on a daily basis at approximately 100 to 200 million euros! Yes you read that correctly, an increase of 100 to 200 million euros. So payments were being made on these targeted liabilities on a daily basis, and increasing to 100 to 200 million euros, from a bank that is in lockdown, and on the verge of bankruptcy. Does that not see odd to you? It does to me, and I am no wiz kind when it comes to financial matters. This report goes on to say that in the last week cash assets have been withdrawn from Cyprus in the billions, although the Cypriot central bank has actually issued a lock!
When the Cypriot Fed found out about this, payments were “interrupted,” and a statement was given which went something like this: “Allowed are transfers of humanitarian aid, those are not received financial stability is at risk, and “special payments,” which are not defined in detail.”
So the false pretenses being used for the Grand Larceny are the humanitarian aid and other “special payments.” What we are witnessing on a very grand scale, is a giant, no a global shell game. What is a shell game I hear you ask, it is a game involving a sleight of hand, in which a pea is placed under one of three inverted cups or nutshells are moved around, and contestants must spot which is the one with the pea is under. It is also defined as a deceptive and evasive action or play, especially a political one! This is how the online dictionary defines shell game:
1. A game, usually involving gambling, in which a person hides a small object underneath one of three nutshells, thimbles, or cups, then shuffles them about on a flat surface while spectators try to guess the final location of the object. Also called thimblerig.
2. A fraud or deception perpetrated by shifting conspicuous things to hide something else.
Now, I would most certainly classify the shenanigans going on at the Cyprus Central Bank as fraud or deception, as the ECB and the EU as they shift and shuffle money about as they play this global shell game. What of Money Laundering? Does it meet the criteria, or definition? Investopedia.com defines money laundering as: “The process of creating the appearance that large amounts of money obtained from serious crimes, such as drug trafficking or terrorist activity, originated from a legitimate source.”
Investopedia explains ‘Money Laundering’ in this way: “Some estimate the size of the problem is over $500 billion annually. Often thought of as a victimless crime, money laundering is a very serious issue. Without it, international organized crime would not be able to function.” http://www.investopedia.com/terms/m/moneylaundering.asp
The Financial Supervision Commission’s Anti-Money Laundering and Countering the Financing of Terrorism (“AML/CFT”) division defines money laundering in this way:
“Money Laundering is the process by which criminals attempt to conceal the true origin and ownership of the proceeds of criminal activities. If successful, the money can lose its criminal identity and appear legitimate.”
They go further on to explain in more detail what this would consist of, such as the following:
“Illegal arms sales, smuggling, and the activities of organized crime, including for example, drug trafficking and prostitution, can generate huge sums. Embezzlement, insider trading, bribery and computer fraud schemes can also produce large profits and create the incentive to “legitimize” the ill-gotten gains through money laundering. When a criminal activity generates substantial profits, the individual or group involved must find a way to control the funds without attracting attention to the underlying activity or the persons involved.”
They go on to explain that “criminals do this by disguising the sources, changing the form, or moving the funds to a place where they are less likely to attract attention. In summary, the money launderer wants to:”
- place his money in the financial system, without arousing suspicion;
- move the money around, often in a series of complex transactions crossing multiple jurisdictions, so it becomes difficult to identify its original source; and
- then move the money back into the financial and business system, so that it appears as legitimate funds or assets. http://www.fsc.gov.im/aml/
As the world watches, the big money players, like the ECB, andvthe EU, are laundering their stolen ill-gotten-gains and playing a global shell game at the expense of the tax payer. Cyprus is just a dry run, the test tube baby of what is to come for everyone on a global scale. How good are you at guessing which shell the pea is under?
by: Andrea K. Robson