Euro zone orders Cyprus to sieze 10%

[Skybird]

It seems to have become known by analysis of the TARGET account balances that while Nicosia had announced a financial transactions stop days ago, the Cypriot government and banks nevertheless waved through suspiciously high ammounts of money that got transferred out of Cyprus. Volume of such transactions should have intensified by several factors over the past days.

My theory: Nicosia bows to Russian pressure to allow Russian oligarchs saving the black money that they had parked in Cyprus.

The alarm again came form the Germans, who in last autumn already were the first to alarm the EU with BND informations on Russian black money parked in Cyprus and money laundery being done in cooperation with Cyprus. Already back then I thought it was high time to kick Cyprus out of the EU (it is more Middle East than European anyway). But the EU-ideologists and their precious gentle dream... the precious gentle dream... it must come true, it must be pressed, pushed, kicked and slammed until it fits, no matter what, no matter the damage, no matter the costs.

[Jimbuna]

They've reached a deal...those with up to 100,000 Euros will be left alone and those with more than that will have a percentage (to be decided in the coming weeks) will be subject to a levy.

http://www.bbc.co.uk/news/world-europe-21916102

[Skybird]

I'm pro and contra.

Pro: What people do not realise when putting their money on a bank account is that they are placing a bet. Peter and Paul think they bring it into safety, that's how it feels to them, but technically they are placing a bet, like placing any other. And that means they can win and lose. There is no guarantee that players always must win. Nor is there a right that they can demand to always win. Anyhow, little John Smith gets saved from losing his existence. The fat Russian cats get a shave. I like that especially in those cases where the fat Russian cats may be criminal money launderers.

Contra: I'm coming around to take a position of fundamental opposition to any statehood in general. My earlier tolerance of needing to pay taxes has declined and today is almost non-existent anymore, for I do not see them being used wisely, but being wasted headlessly to please the canaille. - Still, 10 billion euros from other countries will be pumped into Cyprus. More violation of EU treaty law. - I am pissed by the "unculture" in Southern European countries to expect getting fed and nannied by others who have to work and pay for them, but starting to attack the hands feeding them when those feeding them dare to criticise them for their inefficiency and passivity. Nobody has the right to expect and take for granted a right to live by the same wealthy living standards like people in other countries if he cannot afford that for himself - he has the right to work for optimising the living conditions in his current place according to what he can afford only. And I'm tired of seeing all those notorious Nazi-comparisons, lastly also to be seen in Cyprus. People have elected the leaders they now have, and had before, and people allowed over the past years to blow up the bank sector beyond proportions as long as they profiteered from that by insanely high interest rates. If they would have switched on their brains, they could have seen it coming for them. Now that it found them, they cry wolf. Of course, it is not their mistake, it is not their government, not their responsibility, and it were not their decisions, no - it is the others, especially the evil Germans.

Cyprus can sink in the ocean, as far as I'm concerned. It's contribution to the European economy is lass than a quarter of a percent. But they cheated and lied and arrogantly hijacked a whole continent of almost half a billion people. Nobody needs such friends.

Maybe Moscow let it fall for right that reason, without any further strategic calculations?

[Skybird]

German media just started to quote that Medwedew "tobt vor Wut" (fuming with rage).

And suddenly they want to pay for Cyprus, too.



I knew they are cooking their own supper, but I had not expected them to mess up that badly this time. Anyhow, there will be retaliation from their side. Gas prices comes to my mind, and trade agreements. They will fight to get back their money in other areas of the playboard.

[Skybird]

A German comment dripping with acidity:

Unwürdiges Schauspiel: Zypern hat Europa gnadenlos vorgeführt

And the best thing is: a sequel is guaranteed. The money decided on already is known to be not sufficient. Keep your old tickets, we see you all again soon, same theatre, same show!

[yubba]

25% ????? for 100,000 ???? could you imagine being a business owner and loose 25% of your business..

[August]

Originally Posted by Skybird

I'm pro and contra.

The contras (some references use the capitalized form, "Contras") is a label given to the various rebel groups opposing the Sandinista Junta of National Reconstruction government in Nicaragua that were active from 1979 through to the early 1990s. Among the separate contra groups, the Nicaraguan Democratic Force (FDN) emerged as the largest by far. In 1987, virtually all contra organizations were united, at least nominally, into the Nicaraguan Resistance.

http://en.wikipedia.org/wiki/Contras

Skybird, I never new you were a Sandinista killer.

[Jimbuna]

The levy is reported to possibly be as high as 30%

[Skybird]

contra

[Skybird]

Originally Posted by Jimbuna

The levy is reported to possibly be as high as 30%

40. 20-40%.

High deposits at the Laiki bank will even lose up to 90% of their values.

It's the money of the rich and wealthy, for the most Russian. That is why now Putin intervenes and wants to help bailing out the banks.

With the money of ordinary Russian tax payers this time.

Always the same story.

When you give your money to the bank, you are placing a bet. Basic economic theory. You bet on the bank running business that way that it can successfully pay you a promised dividend, which for savings is called "interest". You do not give them "value" to keep it safe for you. I know, that is the ordinary thinking of everybody, it just does not match economic reality. They keep safe for you what you put into a a safe deposit box in their steel room. But a bank account is no safe deposit box. It's a bet.

[August]

Originally Posted by Skybird

contra

Latin. Not english.

Pro and Con would be more correct.

Just trying to help...

[Betonov]

Washington post says Slovenia is next and it will be worse

http://www.washingtonpost.com/blogs/...d-worry-about/


The comments under the article manage to paint a more accurate picture of our situation

One of the major problems here in Slovenia is that "everyone knows everyone". This way the local wannabe managers (financial thiefs) in tie with scumbag politicians (big banks are in majority owned by the state) made some "friendly loans" that were unsecured. Those loans were then used to buy out the stock of the companies by the people managing them (manager buyouts). Yes it stinks to the high heavens. The companies later either dropped in value or went bankrupt..no way to repay a loan.. The biggest bank NLB is their milking cow...it gets recapitalized over and over by the people so the scum can take advantage of it and funnel the money they make out of the country in places like...Cyprus...

Comparing Slovenia with Cyprus is completely wrong. The only thing the two countries have in common, is the crysis, and that one growing on a totally different basis.
The Slovenes are a very hard-working nation (just to compare, the were making a total of 40% GDP in Yougoslavia, while they presented less than 10% population), whose main problem is simply incompetent politicians, not being able to handle the recession.
Nicely shown from the GDP drop after recession hit worldwide.

The level of graft, corruption and incompetence among the political and business elite are so intertwined, one cannot differentiate between them. The banks were and still are state owned and the politicians dictated who received loans, knowing at the outset ,he funds would not be repaid. Businesses, with government approval, were allowed to stop paying payroll taxes and pension contributions for 5 years, while still collecting and using employee contributions for internal purposes. Slovenia was and still is a banana republic. The Europeans were well aware of the situation prior to their entry into the EU and it was allowed to enter for the sole purpose of serving as buffer zone to Serbia, In the event there was more bloodshed, NATO troops could be moved in.

[Jimbuna]

Empty your piggy bank and save your country the pain

[Skybird]

Originally Posted by Betonov

Washington post says Slovenia is next and it will be worse

Slovenia next? Will be a close race with Luxembourgh for first place.

If one steps back an look at it all, it is amazing how the EU is achieving right the opposite of what it claims it wants to achieve.

It claims to secure peace, but the sentiments between nation's people become more and more hostile.

It claims to secure economic stability, but where ever you look, instability is growing.

It claims to secure security, but all basic pillars of an environment where trade and enterprise would prosper, get systematically destroyed: trust, law and order, independence of constitutional and high courts from government, independence of central banks.

Cyprus next will fall into a deep recession. And then at the latest it will need more money.

It's all sliding from bad to worse, and still nobody in Europe dares to speak out for storming Brussel and setting the EU institutions ablaze.

It seems the pain still is not big enough for still not enough people. Let's wait a while longer then. Since last year I am of very high confidence that in the end the EU will collapse and destroy itself, like the Soviet Union and it's satellites did.

[Jimbuna]

Tighter controls including weekly limits on cash withdrawals and export limits on Euros are being introduced.

http://www.bbc.co.uk/news/business-21936554