Categories
Economy

What Will Happen When the Eurozone Collapses?

As political dithering continues, it looks more and more likely that the euro zone will break up, if not completely, then perhaps with some countries being cut loose.  Ireland is one of those countries, which may explain why the government is so diligently adhering to the terms of the troika agreement, and even going beyond it in the case of last week’s payout  to the unsecured Anglo bondholders.  It could be intended to placate those who will ultimately decide who gets kicked out : Germany and France.

In other words, Germany.

In a disturbing piece published in today’s Examiner, and in an expanded version on his own blog, Brian Lucey explores some of the consequences for Ireland if we have to abandon the single currency.

He argues that if any country leaves the Euro, it will cause a cascade effect leading to the disintegration of the the eurozone.  Alternatively, if the Germans decide not to bankroll the system, the euro is also doomed, and Lucey argues that any sensible government ought to be planning how to deal with the consequences, which will be extreme.  A sharp rise in the cost of imported goods and services.  More expensive oil and gas.  Savage cuts in government spending to create a balanced budget immediately.  Big increases in the interest we have to pay on sovereign debt.  High inflation.

The scenario that Lucey outlines would, in my opinion, cause widespread hardship and civil unrest, leading to an inevitable crackdown by government, limiting all sorts of civil liberties, including free speech. Websites like this one might not be permitted to exist in the harsh financial winter we face.

Read what Brian Lucey has to say and take it on board.  He isn’t making it up.

 

 

Categories
Banking

Anglo Executives Refuse to Hand Over Computer Passwords

Guess what?  The cops can’t get access to vital computer files in their investigation of Anglo because …

Go on.  Guess.

Is it because the  Anglo laptops are all broken?

No.  They’re fine.

Is it because the cops keep getting distracted by playing Solitaire and Minesweeper?

No.  They’re serious cops.  Don’t be ridiculous.

Is it because they can’t understand how to switch on the computer?

No.  The ON button is clearly marked.

The reason is because former Anglo executives refuse to give them the encryption passwords.

How about that?

What’s the password?

I forget.

The investigation concerns certain matters I wrote about here in the past:

  • huge loans to Anglo senior executives which were obligingly taken over for a few days by rival bank, Irish Nationwide, the other basket-case, when the auditor came to examine the books
  • loans to ten people for the purchase of Anglo shares to artificially inflate their value
  • overnight transfers of huge amounts — billions — from Irish Life and Permanent to create the impression that Anglo had significant deposits when the accounts were being examined.

It seems like a lifetime away, but when I wrote this post, I was complaining about the government’s plan to inject €3 billion of our money into Anglo.  The figure for Anglo now stands at something in the order of €34 billion, and the total bill to bail out the investors in the banks is estimated at €70 billion, rendering the country bankrupt, in an agreement based on falsified information supplied by the bankers.

Now, when the police are seeking to investigate these extremely grave matters, it turns out that senior Anglo people are not providing them with the assistance they need to uncover the facts.

Quick.  Stop the first fat guy with a beard and a Slayer t-shirt.  Tell him the cops need him urgently to hack into Seanie Fitz’s laptop.  Tell him there’s an extra-large pizza waiting for him when he does the job.

This is a terrible indictment of the investigation.  People who fail to turn over passwords should be arrested and charged.  It shows that the Gardai are not carrying out their job, either through incompetence or direction from government, but either way, we have yet more evidence that Anglo executives are being protected.

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What is the Anglo Secret?

Other posts on Anglo

Categories
Banking

The Unbearable Shiteness of Cowen

He really is a dog, isn’t he? A dog and a muppet. A muppet-dog.

They told Cowen a full nine months before the blanket bank guarantee that the two fake banks were screwed, but he did nothing until nine months later when the heads of the two biggest banks walked into his office and spun him a little bit of the truth mixed with a big heap of lies.

We’re screwed, Brian, and you have to dig us out or the country’s ruined.

How did he dig them out so the country wouldn’t be ruined?  By ruining the country.

He issued a €440 billion guarantee, that nobody in the entire world believed Ireland could ever deliver on.  It bailed out not just the depositors, and the senior bond-holders, but also the subordinate debt : the people who took a high risk in return for high returns.  The finance gamblers who are used to getting burned.  He bailed them all out.

But wait.

Where were the media while all of this was going on?

What were they saying about Anglo-Irish Bank and Irish Nationwide?

Nothing, that’s what, because they were shit-scared to suggest that these banks were nothing more than pyramid schemes in case Fingers or Seánie slapped them with a lawsuit.  Check the records and you will see that no newspaper, radio or TV station pointed out the truth of Anglo and Irish Nationwide.  Instead, they all insisted on treating these two jokes as genuine retail banks.

Clearly, if Cowen was getting his information from the Financial Regulator Patrick Neary, a first-class idiot, the broadsheet newspapers and the national broadcaster, he had no reason to assume that the two fake banks were anything but genuine.  He can hardly have been getting his information from the half-wits in the department of Finance, and he doesn’t possess any special expertise in economics or banking himself.  In fact, to the best of my knowledge, Cowen possesses no expertise in anything.

This is our Prime Minister, who was in charge of Finance when everything went down the toilet.

Three days before the guarantee, Cowen and Lenihan were being advised by Merrill Lynch, hired for $7 million, not to bail out the subordinate bondholders and not to issue a blanket guarantee that would damage Ireland’s credit rating.  They were being advised that Anglo and Irish Nationwide were nothing more than a couple of scams that could happily be allowed to collapse, but they included both of these Ponzi schemes in the bailout anyway.

Why?  I think it’s because Fitzy and Fingers have so much dirt on people at the top of Fianna Fáil they had to be bailed out in case they’d start to reveal where all the bodies are buried.  But that’s just my personal opinion.  I think Cowen and Lenihan sacrificed Ireland to save Fianna Fáil, and I think that’s why Biffo reacted so badly when Eamonn Gilmore accused him of economic treason.

Gilmore hit a nerve.

Categories
Economy

No Inquiry Into Banking Disaster, Says Government

I heard Batt O Keeffe on the radio this morning, defending the party line on an inquiry into the banking scandal.

It was the same insulting and dishonest waffle we’ve always got from him and his kind.  Nonsense.

According to Ned, the officials of the Department of Finance are working flat out to make NAMA a reality, which will free up the banks to start lending again, and the last thing these hard-pressed officials need now is another inquiry to distract them from their arduous task.

Wrong, Ned.  Wrong on every level.

The NAMA money will never be lent out to customers.  It will be used to pay the banks’ debts and fill their coffers with cash.  NAMA will not result in  a single small business receiving a loan.

To say otherwise is a plain lie from Ned O Keeffe, who thinks he’s dealing with the Irish public of the 1950s when this kind of pompous guff was swallowed without question.

The reason the Government don’t want an inquiry is because it would expose NAMA for the fraud and con-job that it really is.  And because a thorough inquiry would expose the collusion and involvement of Governemt ministers at the very highest levels in creating the financial disaster that has resulted in the country being robbed to protect the wealthy.

Batt O Keeffe hasn’t two brain cells to rub together.  We all know that.  We all know he was made Minister for Education because the job needed an idiot.  But he’s also the mouthpiece of Brian Cowen, and therefore you can take it that when Batt speaks, Brian is behind him operating his jaw through a hole in his back.

They were all involved and they all knew what was going on.  Last night, on Prime Time, we learned that Charlie McCreevy, who was soon to become finance minister, received a €1.6 million mortgage from Irish Nationwide to purchase a €1.5 million property.  A mortgage of nearly 110%, from a mutual building society, supposedly operated for the benefit of its members.  And we discovered that there was no paperwork involved.  Fingers Fingleton put it through on the nod for this political heavy hitter who would shortly be in a position to make very favourable decisions.

Now, if the finance minister was in hock to a dodgy outfit like Nationwide, then we can presume there was no proper oversight of the system.  How many other ministers and senior Fianna Fáil members were in Fingleton’s pocket?

Professor Patrick Honohan, a man of impeccable credentials and newly-appointed head of the Central Bank, thinks an inquiry is needed urgently and has twice said so, but of course he was appointed by Lenihan who, in fairness to him, had no involvement in the fraud.  Isn’t it interesting that the highly-regarded academic  is certain we need an inquiry as a matter of urgency, while the half-wit who speaks for Cowen, Ahern, McCreevy and the rest of the rotten crew is so against it?

What are they afraid of?

Categories
Religion

Fingleton Brokered Religious Orders’ Bail-Out Deal With Government

This article was first published in May 2009

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Michael Fingleton secretly met Michael Woods in the lobby of the Shelbourne hotel in 2002, and agreed the terms of the clerical bail-out before the official meeting took place. Fingleton concocted the agreement off the record with Woods, who later agreed — illegally — to exclude the Attorney General from the negotiations, at the insistence of the clergy.

Of course, Fingleton never worried too much if billions of taxpayers’ euros were being sidelined to prop up his bank or his clerical friends, even if it endangered the very stability of this State, as it now threatens to do.

Fingleton was the intermediary who shuttled between Michael Woods and the religious orders’ negotiators before the final deal was struck, in which taxpayers’ money would be used to protect the religious orders from legal action by abuse victims. It was Fingleton who told Woods what the clergy would and would not tolerate. It was Fingleton who laid down the law to the government and instructed them as to what was expected of them. It was Fingleton who helped Woods to work out a deal that would bring least pain to the religious orders, and maximise the burden on the taxpayer.

Fingers Fingleton, as you may know, is the man behind Irish Nationwide, one of the two non-banks that have dragged our economy to the depths. He was the man who ran the bank as his own private fiefdom, and who was eventually forced from office last March. Fingers, you might recall, paid himself a €1 million bonus after the government announced its intention to bail out his zombie bank, and also set up a €27.6 milion pension fund of which he was the sole beneficiary.

Of course, Fingers wasn’t just the most arrogant banker in Ireland. He was also the person who slipped Celia Larkin the cheque for €40,000 to pay back that money she’d borrowed from the FF funds in Bertie’s constituency.

According to the Irish Times, Fingleton approved a loan of €40,000 to Ms Larkin on March 4th, 2008 without the standard criteria being fulfilled initially on the loan application. Ms Larkin did not provide documents normally required by customers borrowing such loans when she applied for the money.

He’s a deeply religious man. Fingers proudly boasts of his membership of Opus Dei, a shadowy Catholic brotherhood, and there you have it. One Opus Dei member has a quiet word with a fellow Opus Dei member who just happens to be the government minister responsible for negotiating the deal and everything is wrapped up nice and neatly.

See? This is independent Ireland. The Gaelic idyll.

Not only are our banks, our governing political party and the main church in this country all filthy, despicable and unprincipled organisations who have no qualms about sucking the taxpayer dry. It now seems there’s no difference between the three.

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PAYING FOR THE CELTIC TIGER

ECONOMIC TREASON – SIMPLE RECIPE

FINGERS FINGLETON SOLE BENEFICIARY OF €27 MILLION IRISH NATIONWIDE PENSION FUND

IRISH BANK GUARANTEES

Celia, Bertie and Fingers. The Plot Thickens


Categories
Scandal

The Anglo-Irish Ten, Hiding Behind Client Confidentiality

The spin goes on.

Today we’re being told they can’t name the ten secret investors because of client confidentiality.

You see?

Take it slowly, now, so you’ll understand it.

The banks can’t name these people because of their ethical obligations to the clients, and the government is unable to name the ten mystery buyers for the same reasons.

I see.

The banks claim to be bound by obligations to their clients – though clearly they feel no similar obligations to this country, and had little hesitation in dragging us all to the brink of bankruptcy.

Very well.  Let’s play pretend for a minute.  I’m a bank and you’re a rich punter.

Let’s call you Filthy Richie.

Me: Look, Richie, I want you to buy shares in me.

You: Why the fuck should I?  I have no collateral.

Me: No bother.  You’ll be digging me out of a hole, so I’ll lend you the money and you can use the shares in me as security for three-quarters of the loan.

You: But the shares are fucking worthless, and anyway I’d be using part of you to guarantee another part of you.  It makes no sense.

Me: I’ll still take shares in me as security. Richie, you’re in the clear.

You: What about the other quarter of the money I’ll owe you?

Me: You’ll never have to pay it.

You: Why not?

Me: I can’t chase you for it.  There’s a big mistake in the deal my people drew up.  Their fault.  How stupid of them.

Now.  Would some bright spark please explain how that would make you a client in any sense the civilised world understands, and how you would be entitled to client confidentiality.

Thanks.

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Elsewhere:

IrishElection

Irish Times

Categories
Banking

Sean Fitzpatrick Tells Parliamentary Committee To Fuck Off

Seán Fitzpatrick, the thundering prick who headed the financial cancer we call Anglo-Irish Bank, has given a Dáil committee the finger.

What a prick. What an absolute piece of shit Seán Fitzpatrick is.

This motherfucker, who made a fortune out of a cowboy operation that dragged the Irish economy into the gutter, has decided that he’s above such questioning.

He’s too important, the fucking spiv.

Seánie, the barrow-boy banker who had no problem demanding access to politicians of every stripe when he was sucking money out of our country, has suddenly developed an aversion to them.

The fucking parasite.

I hope the government politicians who snuggled up to this swaggering motherfucker, and who swallowed his bullshit self-aggrandising propaganda, are now grovelling in a corner. I hope they have their hands over their heads in shame for being so cowed by this used-car salesman.

But do you know something? I suspect not.

I suspect that the people we have elected to our parliament are the kind who might regard a used-car salesman as a form of minor royalty.

The fucking peasants.

That’s why I think we need to reform our electoral system to its roots, lest we repeat this sort of disaster forever.

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By the way, auditors Ernst & Young have also refused to appear. These are the motherfuckers who failed to notice that Anglo sent a huge ball of money to Irish Life and Permanent who immediately sent it back to Anglo as a customer lodgement.

A big lie that should land people in jail.

No. Seriously. I mean a fucking HUGE ball of money. Seven billion euros. That’s billion with a B.

Ernst & Young didn’t notice that, even though they were auditors to both banks.

Auditors?

What a crowd of cunts.

They also failed to notice that Anglo lent a shit-load of money to a bunch of crooks for the purpose of buying Anglo shares to prop up their value. €300 million lent to ten trusted cronies with Anglo money and used to buy Anglo shares. Ten household names,we’re told.

Excellent. Ten household names who will eventually find themselves in jail, we hope.

The mainstream media reported this today but you read it on on Bock last week, HERE.

I’d like to bring you details of the crooks’ identities soon and with any luck I will.

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UPDATE:

Just like me, Gavin Sheridan has no idea who the ten mystery investors might be, but he writes an interesting speculative post on the identities of people who might have been approached to help out.

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Also on Bock:

Letter To Brian Goggin, Bank of Ireland CEO

Anglo-Irish Bank, Brian Lenihan and the 7-Billion-Euro Fraud

Irish Life and Permanent – Fucking Bastard Criminal Scumbags

Did Anglo Irish Bank Fraudulently Inflate Its Deposit Base?

Categories
Crime Economy Scandal

Letter To Brian Goggin, Bank of Ireland CEO

Mr Brian Goggin

Chief Executive

Bank of Ireland

Dear Brian,

So there I was thinking we had nothing in common. You were a big-shot bankster, while I was just some faceless internet presence. But that all changed, Brian, when I saw you interviewed on TV during the week.

Do you remember that, Brian? Do you remember the bit where the reporter asked you if you’d be taking home less money this year, considering the fact that you presided over a total collapse of your bank’s value, and now the taxpayer has to pump billions into your bank to prop it up?

You didn’t mess around. You told him you certainly would. Your income would be substantially less than last year. That was the word you used, Brian. Substantially. A very good word, if I may say so.

Do you remember that bit, Brian?

Then he asked you how much you earned last year, and I have to confess, you started to lose me. You told him that your disclosed compensation was €2.9 million. Disclosed? Compensation? It made me wonder if you were living off some secret insurance claim instead of a salary.

Big money, Brian. Big, big money.

Look, Brian, I realise you didn’t get where you are today by being stuck for words, so when the reporter asked you how much you’d be taking home this year, after the bank collapsed under your management, you levelled with him.

It’ll be less than two million, you told him.

That was when you won me back, Brian.

That was when I realised we were so alike.

You see, Brian, this is what you and I have in common: next year we’ll both take home less than two million. What a coincidence.

Brian, you have no idea how much you share with ordinary Irish people.

Best wishes

Bock

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Categories
Crime Economy Scandal

Anglo-Irish Bank, Brian Lenihan and the 7-Billion-Euro Fraud

Brian Lenihan, our finance minister, was sent a PriceWaterhouse report on Anglo-Irish Bank, but he didn’t read it all.  He missed some bits, including the part that read Jesus Christ, Brian, these crooked fuckers just conned the whole country and they’re going to sink us all if you don’t do something about it fucking fast!!!

Brian, who is a Senior Counsel in his spare time, with a wig and a silken nightgown to prove it, didn’t notice that bit, and he said so again this morning on the radio. I’m not convinced if I had read the passage that its significance would have jumped out at me.

What bit didn’t he notice? Well you see, Anglo sent €7 billion to Irish Life. And then Irish Life transferred the money to one of its own subsidiaries, Irish Life Investment Managers which lodged the money in an Anglo account just like any ordinary customer who happens to have a spare €7 billion lying around.

You see, Irish Life Investment Managers is not a bank, and that was good for Anglo, because it looks much better if the money on deposit comes from customers instead of other banks, which is why why IL&P disguised the cash this way before sending it back. This was a way of fooling Anglo’s shareholders, the financial regulator (who wasn’t hard to fool at the best of times, it must be said), the international financial fraternity, on whom our very survival as a nation depends, and the government.

Now, remember this. The amount of money that IL&P sent to Anglo was twice the entire value of IL&P, and as far as I know, this was illegal.

Of course, you’d have to be asking why one bank, IL&P, would engage in a gigantic fraud to ensure the survival of another institution that isn’t really a bank at all, but a glorified bag-man for dodgy property developers. Would it be because Anglo is the conduit for money from the property developers to Fianna Fáil, the main party in government? And did somebody very influential exert pressure on IL&P to help prop up the zombie bank?

Why did IL&P feel comfortable lodging all this money back with a bank so shaky it could fall down in the next gust of wind? Well, the very day before this bed-and-breakfast lodgement, our government had guaranteed Anglo’s liabilities.

Now look. There’s no other word for all of this except fraud.

Fraud on a gigantic scale. Fraud on a country-destroying scale.

And this gigantic, treasonous fraud was detailed in the report that Brian had on his desk.

The Minister didn’t notice the bit that said Jesus Christ, Brian, these crooked fuckers just conned the whole country and they’re going to sink us all if you don’t do something about it fucking fast!!!, and what’s more, nobody took out a bright yellow highlighter pen and marked it and said, Look Minister. Look at what the fucking crooks did.

Wouldn’t you love to have Brian Lenihan, Senior Counsel, defending you against a murder charge? You’re convicted. The judge is pulling on his black cap. You’re going to the Chair, when a scruffy little private eye sidles up to Brian.

– Aah, Mr Lenihan, did you get a chance to read my report?

– No. I only skimmed it. Why?

– Well, did you spot the bit with the photographs of a completely different man, not your client but somebody else, stark naked, covered in blood, running down the alleyway waving an axe and screaming that he did it? Or the confession he signed in the victim’s blood?

– Funny you should mention that. I’m not convinced its significance jumped out at me.

One other point. Brian Lenihan didn’t need a PriceWaterhouse report to tell him that Anglo-Irish was as crooked as fuck and that all its dealings were dodgy. There was another well-informed grouping he could have asked, and who would have told him exactly what the situation was.

Who? The dogs in the street, of course, who had been barking it for years.

Brian Lenihan, Senior Counsel, eh? What a man.

I have one final piece of speculation, something that’s been rattling around in the back of my skull, seeking some form of living shape.

It’s this.

Since all the banks seem to have different dates on which they must show a snapshot of their accounts, is it possible that there may only be one lump of money? A sort of travelling rescue-fund that makes its way from one bank to the next, inflating their balances as it passes through?

Perhaps, apart from this touring fund, the banks have no money at all.

Is that possible? What do I know?

Ask Brian Goggin, head of BoI who sadly informed the nation on RTÉ News this evening that his wages are drastically reduced. He’ll be taking home less than €2 million this year. Isn’t it fucking awful?

No. Seriously – isn’t it?

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By the way, check out the Irish Life website for the joke of the century:

Irish Life & Permanent plc (trading as permanent tsb) is regulated by the Financial Regulator

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Also on Bock:

Letter To Brian Goggin, Bank of Ireland CEO

Irish Life and Permanent — Fucking Bastard Criminal Scumbags
Irish Government Nationalises Anglo-Irish Bank
Rival Bank Helps Anglo-Irish Chairman To Hide Huge Personal Debts