So Schultzie is lying again

Big surprise, eh?

Greece risks a collapse of the medical system, power black-outs, and an import blockade, if the Greek people reject creditor demands in a make-or-break referendum tomorrow, the EU’s highest elected official has warned.
Martin Schulz, the president of the European Parliament, said the EU authorities may have to prepare emergency loans to keep basic public services functioning and to prevent the debt-stricken country spinning out of control next week.
“Without new money, salaries won’t be paid, the health system will stop functioning, the power network and public transport will break down, and they won’t be able to import vital goods because nobody can pay,” he said.

That this fat fucker has risen to the top of the system is all we need to know that we have to be out of it.

Mr Varoufakis angrily dismissed “malicious rumours” that Greece’s banks are drawing up plans to seize a share of all deposits above €8,000 in a so-called “bail-in”. This is far below the EMU-wide deposit guarantee of €100,000.
The claims have been widely aired by Greek television and the conservative press, though no sources have been identified.
Louka Katseli, the head of the Greek banking association, said the reports were fiction.

My word, I wonder where the rumour did come from? Someone trying to influence the vote perhaps?

It has emerged that European members on the board of the International Monetary Fund tried to suppress the publication of a report by the IMF showing that Greece’s debt is “unsustainable” and that the country is in grave need of debt relief.
This validates the claim by Syriza that a deal without debt restructuring fails to go to the root of the problem, and merely ensures another crisis later. Angry staff members at the IMF leaked parts of the paper to the German press, forcing full publication.

Shoot them all say I.

21 thoughts on “So Schultzie is lying again”

  1. “Mr Schulz earlier called for the elected Syriza government to be replaced by “technocrat” rule until stability is restored.”

    Ah, democracy. The Left were happy with this sort of putsch in Italy a few years ago – what will be their reaction when a far-Left government gets the treatment?

  2. “Angry staff members at the IMF leaked parts of the paper to the German press …”: good for them. Were they angry Greeks? Was their motive anger, or manoeuvring? …

  3. All the western world has plans for a bail-in if the system goes–to try and keep it afloat with our deposits. The EU puke is threatening the Greeks with what will happen near universally if the bottom drops out.

    He should have claimed that Caesar had made them his hiers–75 drachmas a head.That has worked before.

  4. “All the western world has plans for a bail-in if the system goes–to try and keep it afloat with our deposits.” Good – better with large deposits than just fleecing the taxpayer, rich or not.

  5. Just to be clear: the deposits should be vulnerable only after the shareholder and bondholders have been cleared out. After that you look at the next creditors i.e. the depositors.

    If anyone wants instead to use a vault rather than a bank, what’s stopping them? It can hardly be interest payments, can it?

  6. What do you mean a vault? A safe-deposit box? The state has –or will have–the power to raid those and take what is in them. You could keep your cash at home–but if you have any assets of substance you then have to deal with the prospect of nasty scum coming to take them away from you. You can fight “private” thieves –which you can’t the tax scum unless you are determined on a fight to the death scenario. But few people would be happy with all their resources under one roof subject to fire, theft et. Never knowing, each time you go out, if you will still be a person of substance on your return. That’s one of the main reasons for banks in the first place.

    Most put their money in banks for misguided safekeeping and a bit of interest (v little now–agreed). They don’t know who the banks have invested in. Nor would the banks have made the crappy investments they have made without state promises of protection from failure and insurance. Which in a large crisis will prove utterly worthless. This is far worse than a few greedy investors getting their fingers burned.

  7. What do you mean a vault? A safe-deposit box? The state has –or will have–the power to raid those and take what is in them.
    ‘Mr Ecks’: you are Herr Shultz and I claim my £5.

  8. JeremyT: I don’t see your point. I’m not saying banks are blameless–but the idea that the Greek mess (and indeed the general economic mess) is all down to the banks is false. The banks are Igor to the state’s Baron Frankenstein. As for warnings about bail-ins–that is likely to be the tactic of choice everywhere if the house of cards should fall. The idea that is some special evil that will plague only Greece (and therefore the Greeks must kiss EU arse before it is too late) is nonsense. Various economic pundits have stated that ALL of Europe and the US have the legislation in place to do a bail-in with our money in the bank–which is not really ours any more once we put it in their hot little hands. The only question is at what amount of lucre on deposit will you to be judged “rich” enough to be a victim of this evil scam. I am just pointing out the drawbacks of having all your money at home in cash or precious metals. The banks can’t steal it but home invaders might. You pay yer money etc.

    If you think I am endorsing a scumbag like Schulz or his masters you could not be more wrong.

  9. I remember Anatole Kaletsky writing an article in the Times during the Brown Terror, saying that the State should take a ‘levy’ (I.e. Steal) 10% of all private deposit and savings accounts. It was either in the same article or another he indignantly denied he was a socialist.

    Save Gordon!

  10. Ecks,

    Isn’t it much easier politically just to print it? Same (eventual) outcome but the effect being spread more diversely / less controversially?

  11. Mr. E – sorry for wrongly traducing you – I thought you were making Herr S’s ‘resistance is futile’ argument.
    Still, if I were Greek I’d be keeping my Euros tucked away behind my trusty AK.

  12. PF–Printing or electronically creating it is the engine of inflation. Confiscating already existing money on deposit isn’t. Hence the bail in.

    Balin was the knight of the Round Table who carried two swords and gave the Fisher King the Dolorous Stroke if memory serves. Dollar-rous?. Bail-in? I wonder…

  13. “PF–Printing or electronically creating it is the engine of inflation. Confiscating already existing money on deposit isn’t.”

    Ecks, yes, sure, I understand that.

    But the end result is the same – ie some loss of value – it’s just that the effects are spread differently.

    I was suggesting that a little additional inflation was politcally easier than physically confiscating money from very specific groups of people.

    Hence, probably preferable to the politician enacting it (and especially if they are of the type that needs “votes” to keep themselves in power)…:)

  14. I didn’t say “a little printing”…:)

    I’m not sure if this is true, but if £300bn “has yet to touch the sides” so to speak (in terms of UK inflation)..??

    And imagine the alternative impact of £300bn of “confiscation” – and I’m simply looking at it from a politician’s perspective?

    You say “the whole system”. If simply Greece drops out, then that should relatively easily be manageable by the ECB?

  15. Keeping cash won’t help you since having more than a grand or so in readies proves that you’re a terrorist druglord money launderer so the state will nick confiscate it anyway.

  16. Fortunately for him, Shultz has no more say in this than any of the other EU Presidents. Or indeed, you or I.

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