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Monday, March 25, 2013

Cyprus- How the Evil won and Lessons to learn

Well, we wake up this snowy Monday where we're located and see Cyprus' leaders sold its soul to the banking troika...   Not the first to capitulate and not the last...

Seems the only world leader with any real conviction is located in North Korea...  

Take of that sentence what you will...   

But trust us, if Kim Jong-Il was sitting at that table across from that most vile, detestable group of European finance scoundrels and jackals (backed by the US money) waiting to pounce, he would have probably told them: 

"어머니는 창녀 고 모든 지옥에 갈 수 있습니다."

This we would be translated as:

'Your mothers are whores and you all can go to hell'
Really-- its Disgusting that the only leader in the entire world with any guts to put bankers in their place happens to be him!   Him!

We can't see any other leader telling the banks and the professional Investors/vulture capitalists, and other Dogs to go fuck themselves and shove their harsh terms up their rectums...

Can you?

So what happened last night?  

Oh nothing much-- just an agreement to raid the accounts of depositors holding more than 100k euros to the tune of at least 25% and cap of no more than 40% losses, while sneakily avoiding Parliamentary approval after because cleverly its not called a 'tax'.
So.. let's say Person A had 250,000 euros in a Cyprus bank today and couldn't get any out due to the 10 day bank holiday preventing wire transfers or physical acquisition of cash...

How much will he/she have once this levy takes place?

If its a 25% levy, he/she will now have 212,500 euros, a theft of 37,500

If its a 40% levy, he/she will now have 190k euros, a theft of 60k

** Remember, the first 100k euros are still to be insured so the thievery will occur on the non-insured portion...
Another example: let's say Person B has 500k euros in Cyprus banks...

If its a 25% levy, he/she will now have 400k euros, a theft of 100k

If its a 40% levy, he/she will now have 340,000 euros, a theft of 160k

~ Oh they're wealthy... Oh they deserve it..  Oh its only mostly Russians who got hurt-- who cares...

Total rationalization...and utter ignorance to justify blatant theft of personal property; the first time in human history this has ever taken place-- siphoning money from individual depositors to pay for government incompetence...
So what lessons can we learn:

1)  Governments and banks may have been repulsed when seeking to raid ALL depositors of banks, but now precedent has been set and moral hazard gone.... 

If you have more $$ in the bank than what is insured (100k euros in Eurozone, 50k pounds in Great Britain and $250k FDIC in the US), you're opening yourself to being a victim if/when there's an emergency which requires a shutdown and bank holiday...  

Beware!
2)  Governments do what they want... If they think they have the votes, they'll go through Parliamentary or Congressional vote.. If not, they'll bypass it..  If its a Constitutional question, it will be side-stepped or the 'argument' cleverly re-worded so as not to apply...

3)  Banks and Investors own the world.   They truly do.  Just about every nation on earth is in serious debt and owing money to a global bank...  Currently only three nations do not owe a penny-- Cuba, Iran and North Korea... Ironic, isn't it...

Prior to a year or so ago, there was a fourth nation to the list-- Libya.. But then the US sent warplanes in under the guise of a multi-national effort, assassinated Qhadafi and the IMF was right there to immediately provide long term loans to the Libyan 'freedom fighters' for their new government..

See how it works?
So what's done is done.. the Asshole Ass-umptionists.. the Ass-umers that cackle that all will be well and everything happily resolved to the benefit of the global markets, will be correct again..

Nice winning streak they're riding..

We look forward with glee to seeing their faces when events and situations arise where they are on the losing side..

So.. Cyprus... you didn't have the Guts to leave the Euro.. now we leave your little nothing nation-island behind to mire in the rot of economic depression and misery your leaders brought upon you...

And tomorrow will be a new day in the evil world of finance and markets..