aeondaze
12th November 2014, 10:45 PM
I've often said that one of the key architectural structures the bankers wish to implement is to formalise depositor "bail-ins" just like Cyprus in 2012.
In Brisbane this weekend all G20 Nations will sign off on what effectively becomes legal theft of depositors accounts and the Orwellian double speak they've used to frame it is telling.
The premise of this move is to prevent Tax-payer funded bail-outs of TBTF institutions, but what it effectively means is that depositors accounts will undergo a legal reinterpretation so that "bank deposits are just part of commercial banks’ capital structure"...
From zerohedge
Each country will introduce its own legislation to effect the ‘ bail-in’ agreed by the G20 this coming weekend. The consultation document from the UK’s Treasury lists the following bank creditors who will rank ABOVE depositors in a ‘failing’ financial institution:
Liabilities representing protected deposits (in the UK the government guarantee protects 100% of deposits up to the value of GBP85,000)
any liability, so far as it is secured
Liabilities that the bank has by virtue of holding client assets
Liabilities arising with an original maturity of less than 7 days owed by the banks to a credit institution or investment firm
Liabilities arising from participation in designated settlement systems
Liabilities owed to central counterparties recognized by the European Securities and Markets Authorities… on OTC derivatives, central counterparties and trade depositaries
Liabilities owed to an employee or former employee in relation to salary or other remuneration, except variable remuneration
Liabilities owed to an employee or former employee in relation to rights under a pension scheme, except rights to discretionary benefits
Liabilities owed to creditors arising from the provision to the bank of goods or service (other than financial services) that are critical to the daily functioning of its operations
The above list makes it clear that deposits larger than GBP85,000 will rank ahead of the bond holders of banks, but they will rank above little else. Importantly, both borrowings of the banks of less than 7 days maturity from other financial institutions and sums owed by banks in their role as counterparties to OTC derivatives will rank above large deposits.
http://www.zerohedge.com/news/2014-11-12/russell-napier-declares-november-16-2014-day-money-dies?page=1
But don't take my word, or even zerohedges word for it, see these articles
Chairman Joe’s meeting confirms bail-in ‘on track’ for Brisbane G20 (http://cecaust.com.au/releases/2014_06_11_Bail_In_G20.html)
and cleverly disguised to not mention the word "bail-in", here is Murdoch's paper Sydney Morning Herald (SMH) from last Monday
G20 Brisbane: Leaders to consider new model for 'too big to fail' banks (http://www.smh.com.au/business/g20/g20-brisbane-leaders-to-consider-new-model-for-too-big-to-fail-banks-20141110-11jwzg.html)
Note that these leaders aren't going to consider anything, apparently they've already signed off on it and will basically formalise the deal this weekend.
Are you ready?
In Brisbane this weekend all G20 Nations will sign off on what effectively becomes legal theft of depositors accounts and the Orwellian double speak they've used to frame it is telling.
The premise of this move is to prevent Tax-payer funded bail-outs of TBTF institutions, but what it effectively means is that depositors accounts will undergo a legal reinterpretation so that "bank deposits are just part of commercial banks’ capital structure"...
From zerohedge
Each country will introduce its own legislation to effect the ‘ bail-in’ agreed by the G20 this coming weekend. The consultation document from the UK’s Treasury lists the following bank creditors who will rank ABOVE depositors in a ‘failing’ financial institution:
Liabilities representing protected deposits (in the UK the government guarantee protects 100% of deposits up to the value of GBP85,000)
any liability, so far as it is secured
Liabilities that the bank has by virtue of holding client assets
Liabilities arising with an original maturity of less than 7 days owed by the banks to a credit institution or investment firm
Liabilities arising from participation in designated settlement systems
Liabilities owed to central counterparties recognized by the European Securities and Markets Authorities… on OTC derivatives, central counterparties and trade depositaries
Liabilities owed to an employee or former employee in relation to salary or other remuneration, except variable remuneration
Liabilities owed to an employee or former employee in relation to rights under a pension scheme, except rights to discretionary benefits
Liabilities owed to creditors arising from the provision to the bank of goods or service (other than financial services) that are critical to the daily functioning of its operations
The above list makes it clear that deposits larger than GBP85,000 will rank ahead of the bond holders of banks, but they will rank above little else. Importantly, both borrowings of the banks of less than 7 days maturity from other financial institutions and sums owed by banks in their role as counterparties to OTC derivatives will rank above large deposits.
http://www.zerohedge.com/news/2014-11-12/russell-napier-declares-november-16-2014-day-money-dies?page=1
But don't take my word, or even zerohedges word for it, see these articles
Chairman Joe’s meeting confirms bail-in ‘on track’ for Brisbane G20 (http://cecaust.com.au/releases/2014_06_11_Bail_In_G20.html)
and cleverly disguised to not mention the word "bail-in", here is Murdoch's paper Sydney Morning Herald (SMH) from last Monday
G20 Brisbane: Leaders to consider new model for 'too big to fail' banks (http://www.smh.com.au/business/g20/g20-brisbane-leaders-to-consider-new-model-for-too-big-to-fail-banks-20141110-11jwzg.html)
Note that these leaders aren't going to consider anything, apparently they've already signed off on it and will basically formalise the deal this weekend.
Are you ready?