Cancel the Bank Guarantee or Cancel Ireland

On the brink of the abyss. Time to step back.

Eamon Ryan is to stupidity what Mozart is to genius.

This is the man who told us we couldn’t wind up Anglo-Irish Bank or we’d be thrown out of the Euro zone.

This man’s idea of explaining policy is to repeat the words “smart economy” until everyone is asleep.

This man is an absolute cretin, and yet, at the same time, infallible: he’s always wrong.

Eamon Ryan is the single most stupid politician I have ever seen in my entire life, and if Eamon Ryan says the bank guarantee will work, then we are doomed, because as sure as eggs is eggs, this fool will be wrong, as he has been about every single thing he has ever said.

He’s dim.

Two extremely worrying articles appeared in the last week.  One, in the Irish Times, was written by Morgan Kelly, professor of economics in UCD, and the other, by Peter Boone and Simon Johnson, appeared in the New York Times.

They say much the same thing.  In 2010, Ireland will have one of the highest budget deficits in the world and the banking bail-out is going to sink us.

It’s that simple.

If the government persists with its bank guarantee, public finances will collapse and Ireland will default on its sovereign debt.

Morgan Kelly puts it even more starkly: It is no longer a question of whether Ireland will go bust, but when.

Now, I don’t know about you, but I’m prepared to believe Kelly, Boone and Johnson before I believe some Fianna Fáil hack with a vested interest in shouting them down, and in any case, I have strong evidence of my own to support their thesis that the bank bailout will sink Ireland.  Eamon Ryan thinks it will all be fine.

To put the problem in numbers, Kelly compares Ireland to the USA, where the government put €557 billion into buying the banks’ bad debts.  Half a trillion! And the American taxpayer is likely to lose €150 billion.

But wait.  Scale the figures down to the size of Ireland per head of population.  That’s the equivalent of the Irish government spending €7 billion on NAMA and the bank recapitalisation combined, with a loss of just under €2 billion.

Seven billion invested. Two billion written off.

But what are we actually spending on NAMA and the bank capitalisation so far?

Will I tell you?

It’s €70 billion.  Seventy billion euros.

That’s ten times as much as the USA, per person.  And the loss on that is likely to be at least €50 billion which is proportionately twenty-five times the cost to the American taxpayer.

There’s only one reason for this.  Our present Taoiseach and Finance Minister decided to underwrite the gambling debts of of dodgy bankers who came with lies in the middle of the night, and high-risk investors, instead of explaining to them that their bad business decisions were not our problem.

As a consequence, you and I now face years of savage cuts in public services, including schools and hospitals.  In addition, we also face huge tax increases.

By contrast, the bankers and the bondholders stay fat, perhaps having to pull in their belts half a notch, but still of ample girth.  It will be IMF rule, and all because this government, Fianna Fáil, the Republican Party, when it came down to hard-faced ideology, proved that its slogan is nothing more than that: an empty slogan.

Republics are for the little people when times are easy.  This is all about the big boys — the ones who matter.  This is all about bailing out the pals who run the banks, and the other pals who own the banks and the politicians.

I know it isn’t nice to be thinking about uncomfortable concepts like treason, but what we have seen in Ireland over the last two decades is nothing short of treason.  A small cabal of very wealthy men have bought a government and used it to suck the life-blood out of a small country.

And when their pyramid scheme collapsed, as it always must, the government stepped in with a guarantee to save the wealthy circle, but they didn’t use just money.  They pledged your future, your children’s future, their education, welfare, health, peace and happiness for all time.

That was some guarantee for a bunch of small fat sweaty men in baggy suits to make, wasn’t it?

Unless this criminal guarantee is rescinded somehow, Ireland will sink without trace.  There will be no investment for generations.  You, I and our children will be screwed, and people had better start waking up to this very tangible reality.  Make your decision now.

Eamon Ryan thinks it won’t happen, but that’s because Eamon Ryan is a blithering cretin.

There’s only one remote chance of saving this country from obliteration, and that’s to let the banks collapse — all of them if necessary.  Every single, crooked, scumsucking, embezzling, thieving one of them, and set up new, unencumbered banks on the rubble.

If this doesn’t happen, we’ll end up having to build a new country on rubble, and nobody wants that, except perhaps a small bunch of pudgy, tanned men in some Portuguese golf resort.


Previously on Bock

What is the Anglo secret?

NAMA millstone will sink Ireland

Paying for the Celtic Tiger

Property Speculators and Treason

Irish Bank Guarantees

Bankrolling a Bank

24 thoughts on “Cancel the Bank Guarantee or Cancel Ireland

  1. Yeah, I often wondered why they didn’t do that. Just guarantee depositors and let the others rot. Was it due to another ‘ideological’ reason? Surely they knew they would end up owning a good chunk of the banks when the dust settled. I wouldn’t trust the government to set up a bank, they cannot do anything economically.

  2. Bock,

    it is treason pure and simple, and those responsible should be made to pay the price of treason. Of course this is Ireland, and not a proper functioning democracy so it’s highly unlikely that will happen. Which will only decrease respect for the law as a whole as people once again that the only ones that will suffer are ourselves and future generations. Which leaves a dangerous vaccuum in society leading in a downward spiral to match the economic one FF and Griana Fail seem determined to kill the country with.

  3. if i borrow money from a bank and have difficulty repaying, the government will not step in and shore up the bank and bail me out. in fact was something not said recently about no NAMA style system for householders, something along the lines of thats not how business is run and its a matter for the bank and its customer. now if a speculator borrowed €1billion from the AIB to take a gamble, i doubt the AIB had the cash handy in a vault, they more than likely got the money from another bank, possible a foreign bank.
    now , if the speculator goes belly up, surely the AIB would have a problem repaying the foreign bank, this is a matter between 2 banks, one who gave loans to another so it could fund a speculator. both banks driven by greed. the speculator tells AIB, i can’t repay, the AIB then tells the foreign banker, that loan is a gonna . penalties may kick in for both borrowers, but the real problem is for the foreign bank who gave the initial loan. and because the values of loans they gave out is so high the ultimate problem would lie with the foreign governments of those banks.
    if the irish government had told the banks to get lost, thats ye’re business, eventually the knock on effect would be worldwide and no longer an irish problem. to my way of thinking, by bailing out the banks through NAMA we’re actually shoring up the economies of other states.

  4. This is the only graph you need to see.

    It’s Greek 10 year yield. This comes up on 6M (six months). Click on “1D” for the daily movement.

    You will notice that there is little movement.

    The cost of 10 year Greek debt fell today from 7.802 (annual compound interest) to 7.788 (annual compound interest).

    That’s after the ECB put €20,000,000,000 into the market to buy Greek debt.

    They are also buying Irish debt.

    This is the greatest Ponzi scheme ever.

    The ECB is lying.

    Greece currently has a debt to GDP ratio of 120%.

    By 2014, after all of the “austerity” measures it will have a debt to GDP ratio of 150%.

    Greece cannot pay its debts.


    Perhaps that should be CANUTE.

    Apologies for the capitals offence.

    It needs to be said.


    In short for the next four or five years the Greek government (not unlike the Irish government) is going to try to pretend that they can pay their debt to their creditors.

    They CANUTE.

    We CANUTE (unless we dump Anglo Irish and Irish Nationwide)

    Q. Why are we as Citizens putting €25,000,000,000 into what are patently failed institutions?

    A. Because the European Union says we must.

    Brian Cowen is not Irish he is “European”.

    Brian Lenihan is not Irish he is “European”.

    €25,000,000,000 into failed banks?


    €25,000,000,000 paid to the masters of Brian Cowen and Brian Lenihan.

    Both lovers of the Republic and Democracy?


    Both lovers of European Financial Fascism.

    The Greeks get it.

    We will “get it” soon.

    The debts Canute be paid.

    They know it.

    They have something else in mind for you.

    The “Main Financing Rate” of the ECB is 1%.

    Why do they allow Greek debt trade at 8%?

    That’s a seven percent margin.

    Does the ECB believe in the future of Greece or are they just thieving from them?

    Does the ECB believe in the future of Ireland or are they just thieving from us?

    Where is the €25,000,000,000 we put into Anglo Irish and Irish Nationwide going?

    It wouldn’t be to German and French banks?

    Would it?

  5. “Eamon Ryan is to stupidity what Mozart is to genius.”

    Eamon Ryan doesn’t give a shit. He knows he’s stupid.

    He’s an Eco Fascist.

    After you have paid for the debts of Anglo Irish and Irish Nationwide Eamon Ryan will take great pleasure in lying to you about why he needs to take the rest of your money to “save the planet”.

    The Green Party are the ones whom having wrestled with their conscience found out that their conscience won and it was Fascist.

    They realised you don’t have to be Uber clever to be a Fascist. You just have to be Fascist.

    Its what they do.

    Welcome to the New Green Order.

    First thing on the agenda.

    Pay off our Masters.


    Tax the people.


    Let Europe decide.

    After all we’re too busy saving the planet to concern ourselves with little people.

  6. Who is Eamon Ryan?
    Who is he?
    Is that the guy who used to sell eco holidays on bicycles?
    Did they give him a job running the country?
    Did`nt he say he would create a 100 000 jobs with the green economy?
    Are they all fucking insane?

    Understand this and you will understand how fucked we actually are for the next 50 years. There is not an ounce of competence out there to save us. Everything they are doing is only making matters worse.
    We are spiralling down to the point of no return. In 2-3 years we will be bankrupt as a country. These plonkers will fudge and fiddle the figures to make it look like our debt is like a hangover from a Christmas party until they get booted out. It was only about 2 weeks ago that they were talking about our emerging economic recovery and how the jobless rate is improving? Some “economist” morons actually said we would emerge into growth by the 3rd quarter this year. Who pays their salary?
    I ask you with tears in my eyes? I had a cup of tea in my hand and it went flying because I laughed so hard.
    They are such a joke it is actually becoming embarrassing to talk to people overseas, because they always ask, who are these clowns, and why have they not been thrown out on the street where they belong?

    Do Ryanair still have those fiver a seat, one way tickets?

  7. “Yeah, I often wondered why they didn’t do that. Just guarantee depositors and let the others rot.” Indeed Irate Chemist. And ask yourself also why they wont tell us the identities of those bondholders that they bailed out, or reveal the detail of the “best available advice” that they got, and who they got it from, so we can judge whether it was corruption (my guess), or stupidity. There is a lot of stuff they wont tell us. Why not? What have they got to hide? It stinks.

    I have defended the Greens in the past, on the basis that they only had a small number of seats, and therefore had to make compromises in the programme for Government to achieve what they believed was important. And ultimately because, unlike most, they weren’t in it for themselves, and because I agreed with most of what they stood for. But for me thats all in the past. They had a great to opportunity to save us from the corruption of the bailouts, NAMA etc but they did the opposite, even taking the heat off FF by going to bat for NAMA. My opinion of Eamonn Ryan, who I used to respect, is now similar to that of Bock’s, ever since he tried to tell us that NAMA would make a profit. And that was BEFORE the EU told the Government to go back and revise NAMA and apply proper discounts to the loans. He’s not peddling that line any more, even though the amount NAMA is paying is way below what they originally planned to pay. A total bullshitter, who takes us all for clowns.

  8. But dontcha just love the constipated expression on the man’s face.

    It pains him to squeeze out each half-witted fallacy.

    As to why they didn’t do the right thing: Two reasons.

    Firstly, there’s a lot of political corruption that would be exposed in the collapse of a Ponzi scammers like Anglo, INBS and the rest. Secondly, they are not educated, inclined or intellectually equipped to think independently about the course of macro-economic history. Consequently the are susceptible to ‘a small bunch of pudgy, tanned men’ (as Bock accurately puts it) waking them up in the middle of the night and screaming ‘take on our debts or the world will end!!!’.

    So FF = dumb and corrupt. GP = plain dumb and gonad-free.

  9. @EssoDee

    Regarding the Greens I was of the same view before the FF coalition and the bank guarantee. They aren’t a party that has indulged in the corruption and clientelism of the civil war parties. They were right to worry about peak oil and oppose unsustainable planning policy in the past.

    However that was all sacrificed for a minor role in the most disastrous government in the country’s history and a few green tokens thrown at them (many of which, like the BERs, were going to happen anyway as a result of EU obligatons). Since the bank guarantee it’s as if they’ve had the moral and intellectual areas of their brains replaced by something from the FF clone-banks (which you can find behind a false wall in a pig farm in Co. Offaly, BTW).

    I used to think it was a shame. Now it disgusts me.

  10. The Simon Johnson mentioned, incidentally, is a former chief economist of the IMF.

    Not that I’m a big fan of the IMF, but at least they have some grasp of the bigger picture. Which is more than you can say for the intellectual pygmies in na Glasraí.

    Arghhhh! My blood pressure is going off the scale. Time to lie down in a darkened room and breath calmly.

  11. The answer to Bock’s question is that if we were dealing with the fallout of an economic disaster that would be bad enough. But when the necessary action to correct the economy cannot be carried out because the government are terrified that the average Joe will find out what corruption has been nodded through for mates of the government then we are really in trouble.

    Think about it; The banking inquiry stops short of the bank guarantee or any mention of why Anglo was included.

    The DDDA site for which the Irish government paid an astonishing sum of money via a truckload of pals of Fianna Fail on the board and now have the temerity to report that ‘key files’ have gone missing.

    Basically if people in Ireland put up with this sort of stuff they should just fuck off and buy a peasant smock each and stand outside Leinster House slackjawed and applauding every fat bastard who heaves themself in and out of the door.

    At least the British had the good manners to wear a uniform and not pretend they were representing anyone other than themselves. The same cannot be said for Fianna Fail or its current court eunuchs the Green Party.

  12. There’s €71 billion in bank bonds due this December from Anglo, AIB, BoI, INBS and Irish Life and Permanent. and a further €51.8 billion due after 2010. That is to say these bonds have to be paid back or refinanced at that time. Source: Prof. Karl Whelan at

    The price (effectively interest rates paid on the rolled-over bonds) extracted by the speculators will be high – they don’t believe the bull from the Department of Finance. Say 6% on €122 billion. That’s €7.2 billion per anum we’re taking on. Or about €1600 per man, woman and child that we are standing over with the guarantee. Roughly, I would guess, the cost of educating one National school child for a term. All to save FF’s cronies from loss and exposure.

    Now either this price is a) paid with our schools, hospitals and social services or b) it’s not paid and the aforementioned institutions go down. This is why the lying and/or cretinous Ryan is talking about a “wind out” of the bank guarantee – i.e. no change until we have paid in blood for the roll-over of private bond debt.

    And it’s going to be a) without mass civil (preferably non-violent) disobedience.

    @Capn Con – I like the idea of a picket of Monty Python-style village idiots outside the Department of Finance.

  13. gerrryo you are right. private money was borrowed from foreign banks, lent out by irish banks to private irish companys, who invested almost all of it in property.
    Then the value of the property falls through the floor so they cant pay back the banks.
    The banks go to the government who then borrow money to pay back the foreign banks, so now the people of this country have the loans to pay back.
    Now the loans are soverign debt so we have to pay. this has already happened.
    Then we are told not to worry, because we now own all the property that has gone into NAMA and when it is sold it will make a profit, (no don’t laugh)
    There could be a very big drop next year in property, because when the last ten country’s joined the EU they were only allowed to work in three states one of which was Ireland.
    From next year the rest of Europe will be open to them, country’s much nearer to them with better prospects of work, You could see large amounts of flats and houses come onto the rental market.
    just think what could have been done in our hospitals, schools, roads, with just half the money used so far to bail out the banks.

  14. That should be due by December. No one knows just how soon what portion of the €71 billion becomes due before then. It’s top secret, don’t you know. We just pay the bills.

  15. I’m getting off imagining the village idiot flash mob.

    Each with witty placards with slogans like:


    Photoshopped pictures of Ryan, White, Gormley, etc. with straw hats and ears of corn in their mouths. COME AND JOIN US

    Any more?

  16. All this talk is fine. But do we have enough compitent people to take power when the Garda walk off the job.

  17. I agree with all of what is being said above but the bottom line is ” What can practically be done about it ? . I am by no means a supporter of the current regime and they do deserve a small amount of my disgust pointed at them , but a large portion of it is directed at the idiots who kept our present government in power . The people who refused to think about what their vote actually means . People who read the Sun and watch x factor and only react when their own lives are directly effected by what is going on outside the home that they paid way over the odds for and who fuelled the the mess that is the legacy of Messrs Cowen and Ahern . We as a nation should be taking responsibility for the mess we now find ourselves in .
    As far as Eamon Ryan goes our present cabinet is littered with people who have no business holding the position they occupy . Mr Ryan has a background in organising cycling tours and yet he has been given the responsibility of ensuring our energy needs. As someone who works in the energy sector I can with an experienced eye and after seeing this fool on television being torn apart by highly educated men with actual degrees in the field say that he is grossly under qualified . But again what can be done ?
    If Mr Ryan is to redeem himself he should lobby on behalf of the area he represents for some of the money the government is willing to waste on bailing out a bank that the average person on the street has no use whatsoever for and aggressively pursue other areas of energy generation . Allow the research into nuclear power and renewable energy provide inter-connectors with main land Europe and go out and market Ireland as a place where companies and countries alike can take advantage of cheep and plentiful energy .

  18. When they choose to save Anglo, they saved Anglo’s ‘customers’. All 1200 of them. I heard that figure today and am still digesting it. You are correct again BOCK about our true position. I just don’t know what to do; yet.

  19. About time someone exposed that half-wit Eamon Ryan. Hes been peddling his bullshit endlessly and the cowardly right wing media in this hole have been swallowing it. Just another patsy doing Fianna Fails dirty work for them along with his failed buddy who looks like one of the characters from The Wind In The Willows,your friend and mine Dan Boyle.(Who was ran out of Cork in the last election.)

  20. I was watching Mr Ryan on TV3 last night and tI find you are way too soft on this stuttering blathering lunatic that is sent out in public to get some abuse and avoid any question put to him. God help us with all these clowns bring back the Brits at least we knew where we stood with them! They are also very well spoken!

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