Thursday, 27 October 2011

Eurozone Debt Rescue Deal

Who controls the banks in Britain and most of Europe? A select committee of EU officials.

The EU Controls the Banks
A debt rescue deal announced in Brussels on 27 October 2011 reveals that the European Union can make decisions over the savings of hundreds of millions of people in Britain and Europe, effectively writing off 50 billion euro of people's investments in banks.

According to Sky News 27 October 2011, the German chancellor and French president “insisted that the (banking) sector had got off relatively lightly in the crisis so far, with taxpayers bearing the brunt of bailouts.”

The idea that the leaders of EU member states and EU officials can decide to take enormous sums of taxpayers' money and people's savings, and pump it into the broken economies of many eurozone countries in need of a financial bailout, is proof that the European Union controls the banks and even the taxpayers' money to whichever extent they choose.

According to Sky News, officials in Brussels said, after the emergency summit to address the financial crisis in the eurozone countries, “an accord had been reached with banks on a 50% write-off of 100bn euro of Greek debt.”

The BBC reported the following decree made in Brussels on 27 October 2011:
  • Banks holding Greek debt would accept a 50% loss
  • A mechanism to boost the eurozone's main bailout fund to about 1tn euros (£880bn; $1.4tn)
  • Banks must also raise more capital to protect them against losses resulting from any future government defaults
The framework for the additional 1 trillion euro in the bailout fund (European Financial Stability Facility) is to be put in place in November 2011, and will undoubtedly consist in the printing of an enormous quantity of money so as to fix the EU economy.

Fixed Economy and Communist Dictatorship
The decision to wipe 50 billion euro of owed money from the accounts of western banks, and to print 1 trillion euro to finance future bailouts, could easily lead to unsustainable fixed economies in the European Union falling into the spiral of inflation that hit Germany in 1921, when paper money with no economic guarantee was printed in large amounts.

The idea of fair trade and commerce and accountability for public spending has no place in the EU economic system, which effectively makes it into a failed communist system by definition.

The banks are the pillar that sustain modern free trade and commerce. With enormous amounts of their money being taken away by decree of a governing body run by state leaders and officials, the banks risk falling into sheer bankruptcy. This would lead to the whole private sector becoming bankrupt, as the money that is in the banks does in fact belong to the people, firms and companies that have invested their savings in the banks.

Communist Super-Commissioner
The EU crisis summit has established the introduction of a new office, that of super-commissioner, who would make almighty-like decisions on the euro and confer extra powers on the EU Economic Commissioner, effectively centralising economic power in the hands of two persons.

This revised dictatorial structure will overrule the decision-making mechanism of the wider European Union, and this, according to BBC, brings with it “the implication that the eurozone will more closely resemble a super-state.”

With regards to the decision obliging the banks to raise more capital to protect them against losses resulting from any future government defaults, the BBC reports that the banks “will now be required to raise about 106 billion euros in new capital by June 2012, and governments may have to step in, despite the unpopularity of further bank bail-outs.”

EU Communist Contradiction in Accountability
The decision to force the banks to raise 106 billion euros in new capital by the middle of 2012 contradicts all logic, as the same EU body that gave this order has just cancelled from their accounts 50 billion euro that the Greek treasury owes them.
The report of the BBC clearly states that this could lead to governments having to step in to bail out the banks once they go into bankruptcy due to the new EU decree of 27 October.

There is no way the battered free market of Britain and Western Europe can survive this interference in the banking system, and together with democracy and sovereignty, free trade and commerce will fall to the governing body of a Communist dictatorship that is intent on destroying freedom and fair trade through the imposing of sheer bankruptcy in order to create a European super-state.

Article written by D. Alexander.

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