[Date Prev][Date Next][Thread Prev][Thread Next][Date Index][Thread Index]

US Banks: Bail-In's Are An Option



On Thu, Mar 22, 2018 at 11:17:01AM +1100, Zenaan Harkness wrote:
> On Wed, Mar 21, 2018 at 04:54:37PM -0400, grarpamp wrote:
> > https://www.stlouisfed.org/publications/central-banker/summer-2013/from-bailouts-to-bailins-will-the-singlepointofentry-concept-end-too-big-to-fail
> 
> TLDR seems to be:
> 
>   Forced privatization of top level holding company of a failing bank;
>   outstanding debt claims against the failing bank, are converted
>   into equity claims - evidently this waters down all existing
>   shareholders;
>   still appears to be a backstop of depositor (unsecured creditor)
>   bail in;
> 
> in other words, this looks to be a little more of "spread the damage
> amongst all stakeholders,

Sadly, even I had unconsciously bought into the TBTF rhetoric as
evidenced in the above half sentence:

i.e. to consider bank depositors (end-user, mum and dad (and their
children) savings accounts) to be "stakeholders" (the problematic
double speak at issue here), implies that those who save their cash
in a bank account, are stakeholders in that bank.

And why this concept is so deceptive is because from certain points
of view, this is indeed a technically correct statement - if some
entity is holding my cash for me, I do indeed have a stake in that
entity!

But, but but but! The problem is, to treat end user savings accounts
as ---having a shared liability--- with any liabilities of that bank,
is a despotic corruption of the understanding that most ignorant
people today have of their savings accounts as provided to them by
the statute-ordained monopolies called "banks"!

I.e., fundamentally abhorrent.

Anyway, SMDH over this one... and besides, where our constitution
says "gold and silver coin" is the only lawful money, the Bretton
Woods ponzi scheme foisted on us Aussies is absolutely and
unequivocally treasonous.

I'm guessing Bretton Woods was the original motivation for removal of
our constitutionally enshrined capital punishment against treason.



> and also throw open the doors to share
> sales to raise even more capital, to rescue the failing TBTF bank.
> 
> A bit of convoluted hogwash basically to forestall the QE-to-infinity
> nature of the global fiat ponzi scheme.
> 
> In our Australian constitution: "gold and silver coin" is the only
> lawful money.
> 
> But our treason loving politicians past were done over by the
> Rothschild's fiat empire, although over 30 years after the American
> "Federal Reserve" system was most recently re-established, and that's
> why we in Australia came out of WW2:
> 
>  - with ZERO debt
> 
>  - and the second wealthiest per-capita nation in the world (behind
>    Switzerland at the time)
> 
>  - and also why since Bretton Woods, we've been royally f*cked over
>    like the rest of the West (upwards of a trillian $ in debt now)
> 
> 
> Of note, Australia's intra-country gold production is enough to back
> our national currency in about 10 years of mining.
> 
> But the real problem is the flaccid ignorance of citizens in gold
> cages - so fixing the problem is no guarantee that the gun-wielders
> won't just waltz in again in a few decades and steal it all back
> again.
> 
> 
> Such is human...
> 
> 
> 
> > http://www.latimes.com/opinion/readersreact/la-le-1218-thursday-fdic-20141218-story.html