Cheapest Bailout in the World — Moodys Cut Irish Banks To Junk Rating

What does a hundred billion euros buy you? Junk.

Let us go back in time a little, to October 2008.

That was when Brian “Yehudi” Lenihan announced to an astonished nation that his €460 billion guarantee was the  cheapest bank bailout in the world, compared to the UK and the USA where, according to Lenihan, billions and billions of taxpayers’ money are being poured into financial institutions.

Now fast forward to April 2011, two and a half years — and €100 billion in aid – later, and look at the state of these banks which were supposed to be saved by Lenihan’s cheapest ever bailout.  The Irish people are crushed under the weight of a debt they did not incur, and the banks are now rated by Moody’s as junk.

Two of the institutions that availed of Lenihan’s largesse — Anglo and Irish Nationwide — will never operate as banks again.  Bank of Ireland barely survives, and AIB threatens to end up as big a basket case as Seán Fitzpatrick’s disastrous ego trip of a non-bank.  Fingleton, meanwhile, chuckles smugly as he feels the heft of his giant pension in his arse pocket, paid for by the public purse.

So let us ask precisely what Lenihan’s bailout achieved.  Did it do as he promised and free up the banks to get back lending?

No.  Credit is harder than ever to find.

Did it stabilise the banking sector?

No.  There isn’t a financial institution anywhere in the world prepared to advance a penny to an Irish bank.  We had to go to the IMF cap in hand for that.

Did it help Irish business?

No.  They can’t get an overdraft.  Good businesses are shutting down all over the country.

So, when Brian Lenihan beggared the country in the biggest act of treason ever seen in Ireland, while at the same time telling us it was our patriotic duty,  who precisely did his actions benefit?

Nobody, apart from international gamblers and the small elite of people within the inner circle who had bankrolled his corrupt political conspiracy for generations.

That’s who.

Today, my friends, Irish banks officially have the status of junk, and you can kiss goodbye to the hundred billion euros that Brian Lenihan and Biffo Cowen poured down the sink in support of them.

That, my friends, is what we elected to be our government.

Lenihan the fantasist and Cowen the cretin between them built on the disaster created by the fool McCreevy and Ahern the unletttered clod who somehow managed to crawl his way into power and destroyed our country for generations to come.

Are you angry yet?  Are you furious?

If not, why not?

14 thoughts on “Cheapest Bailout in the World — Moodys Cut Irish Banks To Junk Rating

  1. And to think that those who opposed the bailout were deemed by Lenihan and his media minions as a bit out of touch and not living in reality. It still grates. Garret Fitzgerald is at it too criticizing “celebrity economists.”

  2. All banks worldwide are junk from what I can see at the moment, and yes, I am furious at this mismanagement and corruption. However, being the optimist that I am, I hope that everyone’s eyes have been opened over the last three years and never to trust any of these people in power again, be it politician or banker or any other cunt, it is done now. We have entered unchartered waters and need to get on with it. By the way, who monitors Moody’s the bastards?

  3. Erm… I don’t know if you missed it Bock, but this latest FG/Labour crowd, freely elected by the Irish people on the basis that they would get tough with bond holders, just threw another €20bn down a black hole, and did damn all to bond holders. So much for them – if you voted for them on this basis, you were duped. And there will be another 20m or so pumped in within a year, if the reality of sovereign default doesn’t hit first.

    Throughout Europe the European People’s Party (of which FG are members) are applying the insane policies of refusing to restructure debt, deflating economies through doctrinaire austerity and a horror of printing Euros, which is tantamount to an almost suicidal desire to see the breakup of the EU.

    The parasitical financial markets are loving it – there will be plenty to be made out of a collapsing Euro, and lots of state assets going cheap. As for Moodys and their ilk, I suspect there’s a good bit of insider business going down on the basis of their prognostications – another pointless parasitic institution.

    Capitalism isn’t working for most of us.

  4. I would recommend to your worships the German ATTAC manifesto on the Euro crisis, which can be found here (click on the “englische Version” link, and which has this to say on the subject of credit ratings agencies:

    3. Rating agencies are political institutions and have to be subject to
    democratic control

    In this they are assisted by the rating agencies that downgrade the ‘quality’ of
    government bonds because of their increasing debt levels. Under the influence of
    these rating agencies and international organisations (the IMF and EU), governments
    are increasingly losing control of their own budgets. This is a profound encroachment
    upon democratic prerogatives. A lower rating makes it more expensive to borrow and
    to reschedule debt, and it allows private creditors to collect higher interest rates. We
    are basically dealing with a self-fulfilling prophecy here: predictions of an impending
    debt default lead to more expensive debt-servicing, which in turn increases the
    likelihood of this default because governments find it ever more difficult to service
    their debt. What is therefore required is that this vicious circle, where rating agencies
    increase the debt service of already indebted states, be interrupted. Rating agencies
    have to be subjected to democratic control, so that the mechanism at the heart of this
    self-fulfilling prophecy can be removed. Given that financial markets are both
    inefficient and intransparent, we should not leave ratings up to them. The best thing
    would be to replace these private institutions with public ones. To judge private and
    public credit risks is a public task that requires reliability and responsibility, and
    cannot be guided by the desire to deploy a particular rating in order to rake in
    maximum profits (usually together with a consulting fee).

  5. I’ve said it before and I’ll say it once more for good measure.

    Lenihan and Clown were and still are puppets to the European banking cartel. No different than ‘Inda’ is today. Lenihan knew full well that the banks were f*cked. He did was he was told. And what he was told to do was to lie to us ‘gombeens’. 3 billion, no its not, its 6 billion, no the banks have been unforthcoming with the full extent of their loan books, its now 16 billion. And on and on and on. And the Irish rose up in force, for a two day walk in Dublin to protest.

    Around the world, we are seen as impotent obedient gimps, too ignorant and too stupid to see the almighty arse f*cking thats taking place. And then we go back to the same f*ckers with cap in hand.

    As Hitler once said – “The bigger the lie, the more people will believe it”

  6. they might as well just class Ireland as a junk state.And yes we are the laughing stock of the world except amonst our european neighbours who are having to pick up the tabs for our gombeenism greed and corruption and now having to listen to our self pitying eternal victimhood attitude of ..its not our fault its those nasty foreigners again who should have a kept a closer watch on us to keep us from harming ourselves…They are angry and perplexed and I have no doubt if there was a referendum tomorrow to jettison nations like Ireland it would be carried by a landslide majority.

  7. Do you think the EU bailout will ever be repaid ?…they dont thats why they are charging high interest.

  8. Yet, Lenihan was voted back into the Dáil again!
    Fools deserve fools, but the rest of us have to look and listen to him, and his decisions break us along with the fools who voted for him!

  9. This country is fucked. Couldn’t happen to a more deserving little war-whore of a State either. Been predicting this would happen since March 2003 when that Traitor-In-Chief Bertie Ahern along with the depraved dishonest evil fucks in his cabinet betrayed Ireland’s cause to cowardice inhumanity and rapine down that fetid little warport in the miserable bogs of Clare. If the Irish could nod and wink at their country and her 800 years of so-called oppression being betrayed to illegal war and torture and kidnap programmes they could nod and wink at anything. As we see now, they did. Try going to an Irish bank today and getting dollars at the FX desk to go on holidays. Try using your Irish bankcard abroad to take out more than 75 euro a day. You can’t. Because they have no cash, or are about to run out of the bits of coloured paper the ECB discount window’s been printing hand-over-fist the past 2 years and issuing out in exchange for a lien over the land sea and air of this country, that which our grandfathers fought and died to defend. Some of them. Some very few. The most were at home hiding under their beds and waiting for the danger to clear so’s they could come out and claim their pinsions. As it was then, so it is now. A nation of moral cowards, of grubbers in tills greasy. Everything sung or said in Ireland is a lie. Yeats knew that. I’ve known it since March 2003. The rest of the world knows it now as well. Suck it up lads and lassies this is our karma.

  10. I so disbelieve the Lenihans (I mean, they stood by and let CJH feast on their daddy’s liver and nary a word of complaint from them or that oul crow of an auntie?? COME ON.) I wouldn’t be surprised to read young Brian read Day of the Jackal and how you can chew on a bit of cordite out of a bullet to make yerself look sick and gray. I know it works cos I tried it when I was a kid mitching off school and pulled the top of one of Dad’s .22 rimfire rounds. I bet there’s shag all wrong with him and never was and he was only lettin on to get our sympathy while he betrayed this country for the sake of his owners’ and controllers’ percentages. Fuck him. Fuck them all. And fuck Ireland too. I’m sick of this shithole that I once thought I loved. If it was on fire I wouldn’t piss on it.

  11. Good man John O`, meanwhile in the real world here in Ireland, the rest of us will lift up our heads and get on with it. Build yourself a bridge and get over it man!

  12. ye can’t even afford to maintain the bridges ye have if the Malahide viaduct’s anything to go on (which it isn’t, or wasn’t if you valued yer life). And I’m here in ‘Ireland’, if this shithole even renains worthy of a name of its own these days, bein a PRovinCe in the nEU Roamin Empire an all, too. Having the majority of the sweat o me row yanked away to pay the gambling dets of traitors like Seanies Quinn and Fitzpatrick. And rearing my kids for the emigrant boat. We’ll be awhile ”getting over” this Islandbank. Sure we haven’t even managed to get over ”De Brits” properly yet. And they didn’t fuck this dump of a country half as bad as the so-called ‘Irish’ who’ve rightly fucked her now.

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