Skip to main content

An example of how the banking cartels control countries

the Greek case

by SCH

If we take a look at the Greek legislation, we can understand why the country is totally controlled by big private banks. According to the legislation concerning operating rules of the Primary Dealers selected in order to provide specialised services in the government securities market , one can read that:

From article 1, paragraph1: as Primary Dealers are appointed institutions authorised as credit institutions or investment firms in a country which is a member of the European Union or authorised as such in another jurisdiction by a regulatory authority which, in the opinion of the Minister of Finance and the Governor of the Bank of Greece (hereinafter “the Competent Authorities”), imposes an adequate supervisory/investor protection regime. Primary Dealers are selected in order to provide specialised services in the government securities market, i.e., to participate in the syndications and auctions of Greek government securities in the primary market as well as to trade such securities in the Electronic Secondary Securities Market (hereinafter “HDAT”) at prices that they are obliged to announce.

From article 4, paragraphs Da and Db: Primary Dealers are required to facilitate a broad distribution of Greek government securities domestically as well as internationally and provide the Ministry of Finance, the Public Debt Management Agency (PDMA) and the Bank of Greece with advice, information on and assessment of market conditions, and other information pertaining to their status as Primary Dealers.

From article 5, paragraphs 1d, 1e, 1f, 1g: Primary Dealers enjoy privileged access to information pertaining to the borrowing needs of the Hellenic Republic and issuance planning, new financial instruments and relating operating rules, securities in circulation, volume and turn-over as well as auction results. Exclusive access to short-term securities lending mechanisms that may be created in order to facilitate hedging (short selling). Privileged access to syndication pursuant to Article 13. Privileged access to liabilities management. The Public Debt Management Agency (PDMA) shall take into account the credit rating of the counterparty with which it shall perform such transactions.

From article 9: The Committee responsible for Primary Dealers’ Supervision and Control is set up by a joint decision of the Competent Authorities and consists of 10 members representing the following institutions: two representatives of the Bank of Greece, three representatives of the Ministry of Finance, one of which from the Public Debt Management Agency (PDMA), three representatives of the Primary Dealers, one representative of the Dealers, one representative of the Hellenic Banks Association. The Committee is presided over by one of the two representatives of the Bank of Greece and decides with a majority of at least seven of its members.


According to the Greek PDMA website, the primary dealers are currently the following 22 banks: Alpha Bank, Banca IMI Spa, Barclays Bank plc, BNP Paribas, Citigroup, Credit Suisse, Deutsche Bank, Emporiki Bank, EFG Eurobank, Goldman Sachs, HSBC, ING Bank, JP Morgan, Merill Lynch, Morgan Stanley, National Bank of Greece, Nomura, Piraeus Bank, RBS, Societe Generale, UBS, Unicredit.


Despite the swap scandal of "fixing" the Greek deficit by Goldman Sachs, for which the Greek government paid the bank at least 300 million euros, (http://www.nytimes.com/2010/02/14/business/global/14debt.html?pagewanted=all&_r=0), Goldman Sachs is included in the Primary Dealers list, in order to continue providing "valuable services - advice" to the Greek government. Another two banks, Merrill Lynch and Citigroup, are included in the Primary Dealers list, despite that according to the US Financial Crisis Inquiry Commission (FCIC) report, together with Goldman Sachs, are those responsible for the "creation" of 30% of the destructive financial "tools" known as CDOs during 2004-2007, which contributed significantly to the creation of the housing bubble in US. Two more banks which had significant presence in CDOs that time are Deutsche Bank and UBS, which also continue to be two of the twenty two Primary Dealers.

Another bank based in Greece, Piraeus Bank, is also included to the Primary Dealers list. It is worth to remember the scandal of "selling" the healthy part of public bank Agrotiki to Piraeus Bank in July 2012. The governor of the Bank of Greece, George Provopoulos, had stated that it was a necessary action because the European Central Bank was about to cut the necessary amount of 6,3 billion euros and Agrotiki would have closed, so, many people would have lost their jobs. However, according to the bill concerning this "selling", the difference between assets and liabilities of Agrotiki Bank, was nearly 6,67 billion euros and should be covered exclusively by the Greek Financial Stability Fund, ie the Greek taxpayers! Which means that the "selling" was targeting only to assist a private bank (Piraeus) to eliminate a competitor (public bank Agrotiki), and secure its position in the "Too Big to Fail" category.

Those banks are permanently included in the Primary Dealers list and according to a "riddled" legislation, they have the right to participate in all liquidity processes by the Greek Public in money markets, to supervise and control these processes, as well as enjoying special privileges.

It is characteristic that the committee, which is responsible to control and supervise primary dealers, consists of 10 members, 5 of them represent private banks interests, according to the article 9. However, knowing that the Bank of Greece is, in high percentage, a private institution, then private interests dominate in the committee with a fraction of 7/10, just as much as they need to decide in favor of banking cartels.

Also, since no one knows who are the basic stockholders of the Bank of Greece, it would be no surprise if the basic stockholders are the same private banks which participate in committee which supervise the primary dealers.

The Greek case shows that the supposed free market is just an illusion, especially in the banking industry. The biggest private banks created a complex financial environment with complex financial destructive "tools" which governments are unable to manage. Governments are forced to turn to the same banks for "advising services" while they are flooded with former bank executives placed in key positions. This explains why the biggest private banks receive bailout packages of billions at the expense of taxpayers, loading governments with more debt.

Comments

Popular posts from this blog

Εθνικές εκλογές 2019: τι μας επιφυλάσσει ο νεοφιλελεύθερος εφιάλτης που επιστρέφει δριμύτερος

Οι προβλέψεις φαίνεται να επαληθεύονται εντυπωσιακά. Όπως είχαμε αναφέρει ήδη από το 2016 και αμέσως μετά την εκλογή Μητσοτάκη στην ηγεσία της ΝΔ, το αποτέλεσμα των εσωτερικών εκλογών στη γαλάζια παράταξη έλυνε τα χέρια του άξονα Βρυξελλών-Βερολίνου. Οι γραφειοφασίστες των Βρυξελλών και το διευθυντήριο του Βερολίνου απέκτησαν μια πρώτης τάξεως εφεδρεία σε περίπτωση που τα πράγματα "στράβωναν" με την κυβέρνηση Τσίπρα.  

globinfo freexchange 

Η κυβέρνηση ΣΥΡΙΖΑ έδωσε κάποια μικρά σημάδια ανυπακοής ενάντια στη λιτότητα που επιβάλλει το νεοφιλελεύθερο ιερατείο, ρέποντας 'επικίνδυνα' προς μια πιο φιλολαϊκή πολιτική. Δεν είναι τυχαίο φυσικά ότι τα πρώτα αυτά σημάδια άρχισαν να γίνονται ορατά μόλις η χώρα βγήκε από το πρόγραμμα επιτήρησης που επέβαλε η Τρόικα (έστω και τυπικά).

Παρόλο που το τοπίο καταστροφής στην οικονομία είναι κάτι παραπάνω από ορατό, λόγω των επιβαλλόμενων καταστροφικών πολιτικών του ΔΝΤ, η κυβέρνηση έσπευσε να εκμεταλλευτεί τα διευρυμένα περιθ…

Την ώρα που ο Μητσοτάκης σχεδιάζει ασφαλιστικό Πινοσέτ, ο πιο δημοφιλής υποψήφιος για την Αμερικανική προεδρία κυρήσσει πόλεμο στις ασφαλιστικές

globinfo freexchange

Σοκ και δέος είχαν προκαλέσει οι δηλώσεις Καραγκούνη το Σεπτέμβριο του 18 περί "ασφαλιστικού Πινοσέτ" προλειαίνοντας το έδαφος για τους σχεδιασμούς μιας πιθανής κυβέρνησης Μητσοτάκη. 
Λίγο πριν τις εκλογές της 7ης Ιουλίου, η ΝΔ έδωσε μια πρόγευση του τι πρόκειται να επακολουθήσει στον τομέα της ασφάλισης. Ορισμένα γαλάζια στελέχη προσπάθησαν να διασκεδάσουν τις εντυπώσεις δηλώνοντας ότι δεν πρόκειται να ιδιωτικοποιηθεί ο ασφαλιστικός κλάδος και υπονοώντας (ως συνήθως) ότι τέτοιες υπερβολές οφείλονται στην "Αριστερή προπαγάνδα".

Όμως η απόλυτη αφοσίωση του σκληρού πυρήνα της γαλάζιας παράταξης στη νεοφιλελεύθερη ιδεολογία είναι κάτι παραπάνω από φανερή. Είναι σχεδόν βέβαιο ότι νεοφιλελεύθεροι 'τζιχαντιστές' της δεξιάς ονειρεύονται πλήρη ιδιωτικοποίηση υγείας, ασφάλισης, παιδείας, ως πρώτο πιάτο στο μενού του νεοφιλελεύθερου 'οδοστρωτήρα'.

Οι μιντιακοί γκεμπελίσκοι και τα δεξιά τρολ κραυγάζουν εναντίον της Αριστερής "ιδεοληψί…

Confirmed: the US empire seeks to 'clear' the path for the invasion of Iran

globinfo freexchange

Sometimes it's quite surprising how fast some estimations appear to be confirmed.

Only four days ago, we wrote that the US imperialists know that an all-out war with Iran would equal a suicide. The goal is probably a 'surgical' invasion on the south shores of the country that would last just as long as to permit the US and allies to control the Strait of Hormuz, and therefore, the global oil market. The first step towards such an operation would be the mine-clearing of the strait.

This probably explains why the Western media insisted to circulate the scenario of the 'naval mine'. They want to drag Western leaderships behind US in an operation to clear the mines in the Strait of Hormuz, in the name of global energy security.

Well, we were quite close actually. Three days later, the US leadership attempted a broader global alignment - including rival countries like China - towards the protection of "freedom of navigation in the region". …

Why the US rushed to propagate the 'naval mine' scenario to explain recent attacks on two oil tankers in the Gulf of Oman

globinfo freexchange

The incident of the recent attack against two oil tankers in the Gulf of Oman elevated the heat between the US and Iran. Naturally, the attack also produced some level of turmoil in the oil global market.

Trump's hostile attitude against Iran was clearly evident even before his election. His totally unjustifiable and completely incomprehensible action to kill the Iran nuclear deal, destroyed any remnants of US reliability. Consequently, even the US Western allies refused to follow this evidently counterproductive strategy.

Under these circumstances and given the endless history of US manufactured incidents used to justify the start of another war, most people rightfully thought that this has been just another false flag operation.

And it makes sense actually. Why the hell Iran would attempt to blow up its relations with Japan in the midst of Japanese PM Shinzo Abe visit in the country? Only the US empire would have reasons to do it in order to force one of its…

The Greeks have just committed suicide by electing the most fanatically neoliberal government ever

globinfo freexchange

The result of the recent Greek national elections will puzzle future historians for decades. The Greek voters gave a clear victory to the conservative right party, New Democracy, which will govern with 158 seats, without the need to make any coalitions.
It could be characterized a "paradoxical" result mainly for two reasons:
First, the voters gave a clear governmental order to one of the traditional powers of the old political system, which are highly responsible for the Greek crisis that erupted in 2010. Several top names of the new government, and even New Democracy leader, Kyriakos Mitsotakis, have been accused of being involved in various corruption scandals, in the not so distant past.
Second, the fact that the voters elected perhaps the most fanatically neoliberal government ever. This means that Mitsotakis administration is expected to implement the brutal neoliberal policies imposed by Greece's creditors to the letter. Recall that those polic…

Σοκ και δέος από την υφυπουργό εργασίας της κυβέρνησης Μητσοτάκη: "καταφέραμε να μειώσουμε πάρα πολύ το κόστος εργασίας" (!!!)

globinfo freexchange
Ήταν Απρίλιος του 2017. Η τότε σύμβουλος μεταρρυθμίσεων του Κυριάκου Μητσοτάκη και νυν υφυπουργός Εργασίας στην κυβέρνησή του, Δόμνα Μιχαηλίδου, δήλωνε στο άκρως φιλικό περιβάλλον του ΣΚΑΙ:
"Η Ελλάδα μεταξύ 2013-2014 ήταν πρωταγωνίστρια στις μεταρρυθμίσεις και στις μεταρρυθμίσεις ανταγωνιστικότητας. Και σύμφωνα με στοιχεία από τον ΟΟΣΑ και σύμφωνα με στοιχεία από την Παγκόσμια Τράπεζα, είχαμε πάρα πολύ μεγάλη άνοδο της ανταγωνιστικότητας.  [...] Καταφέραμε να μειώσουμε πάρα πολύ το κόστος εργασίας. Το εργασιακό μπήκε σε ένα πλαίσιο πιο ευέλικτο, το μισθολογικό μπήκε σε ένα πλαίσιο πολύ πιο σκληρό, οπότε καταφέραμε να μειώσουμε το κόστος εργασίας."

Προσέξτε όμως κάτι πολύ χαρακτηριστικό. Ο δημοσιογράφος του ΣΚΑΙ, πριν κάνει την ερώτησή του, παρουσιάζει ορισμένα στοιχεία που δείχνουν ότι οι χώρες με τα πιο ακριβά μεροκάματα (Ελβετία, Γερμανία) βρίσκονται στην κορυφή του πίνακα της ανταγωνιστικότητας. Επιπλέον, στην επόμενη καρτέλα, παρουσιάζει τ…

Masks fall at last: Bernie officially declares war on corporate Dems who seek to survive around Warren

globinfo freexchange

On early June, Politico published an article which actually unfolded, in plain sight, the plans of the corporate branch of the Democratic party to stop Bernie Sanders.
As we wrote back then:

This is an amazingly straight admission by the establishment apparatus, concerning a certain strategy as part of the whole anti-Sanders operation. And it is also clear that Elizabeth Warren is establishment's key player around this strategy.

Perhaps it's not accidental that this article was published right after Elizabeth Warren signaled to the establishment that she will 'play by the rules' at least on some issues, through her neocon-style statement on Julian Assange.

Only a couple of weeks later, Politico revealed Warren's upgraded role in the anti-Sanders operation. According to a new article, "Centrists who once said the senator would lead the party to ruin are coming around to her as an alternative to Bernie Sanders." It seems almost certain …

Preparing the invasion of Iran: the US empire regroups its proxies in Afghanistan

globinfo freexchange

On the occasion of the recent attack against two oil tankers in the Gulf of Oman, we estimated that the US imperialists will follow a certain scenario to achieve primary goal, which is to fully control the Strait of Hormuz. The goal could be achieved through a strategically and geographically restricted, fast-track invasion of Iran.

A certain part of the operation could include some US forces and proxies inside Afghanistan.

As we wrote, already since 2017 the US announced that it will increase the number of US troops in Afghanistan, and one reason probably has to do with Iran. A significant number of US troops on the Iranian eastern border would be very useful. It will be used to keep the Iranian forces busy and gradually weaken the Iranian operational capabilities in an extended attrition war. This will permit the US to gradually secure and establish their presence in the Strait of Hormuz.

This attrition war could be held - and probably would be more effecti…

Πρόγραμμα ΝΔ: το απόλυτο τίποτα της νεοφιλελεύθερης καταστροφής

του system failure
Είναι πολύ εύκολο να καταλάβει κανείς το σχέδιο Μητσοτάκη για την επόμενη μέρα, με βάση αυτό που διαφημίζει ως "πρόγραμμα". Η χειρότερη δεξιά της μεταπολίτευσης, φανατικά προσηλωμένη στον καταστροφικό νεοφιλελευθερισμό, έχει ως βασικό και απ'ότι φαίνεται μοναδικό στόχο, τις επενδύσεις και την ανάπτυξη. Δηλαδή, με λίγα λόγια, ο Κυριάκος θα πατήσει ένα κουμπί και όλα τα άλλα θα τα κάνουν οι περίφημες αγορές. Θα'ρθουν επενδυτές, θα δημιουργήσουν θέσεις εργασίας, θα επιστρέψουν οι νέοι από το εξωτερικό και η νεκρή μεσαία τάξη θα αναστηθεί ως εκ θαύματος. 
Μια μεσαία τάξη που, κατά τη λογική των μιντιακώνγκεμπελίσκων και των δεξιών τρολ, καταστράφηκε επί ΣΥΡΙΖΑ. Λες και δεν υπήρχε χώρα πριν το 15. Λες και η γαλαζοπράσινη λαίλαπα δεν χρεοκόπησε τη χώρα, δεν πετσόκοψε μισθούς και συντάξεις, δεν ρήμαξε τα ασφαλιστικά ταμεία, δεν έσωσε τα τραπεζιτικά παράσιτα με δισεκατομμύρια στέλνοντας τον λογαριασμό στα συνήθη υποζύγια. 
Η αλήθεια είναι ότι…

Αδίστακτοι, αμετανόητοι, φανατικοί: οι νεοφιλελεύθεροι 'τζιχαντιστές' της δεξιάς θέλουν να δώσουν και άλλο πακέτο στις τράπεζες!

globinfo freexchange

Είναι τόσο αδίστακτοι και φανατικοί; Ναι, είναι. Μετά την πρόγευση που πήραμε για τον εργασιακό μεσαίωνα και το ασφαλιστικό Πινοσέτ που ετοιμάζει μια πιθανή κυβέρνηση Μητσοτάκη, ήρθε άλλο ένα στέλεχος του σκληρού νεοφιλελεύθερου πυρήνα να αποκαλύψει άλλη μια συνιστώσα της νεοφιλελεύθερης λαίλαπας που έρχεται: νέο πακέτο δισεκατομμυρίων για τις τράπεζες, σε βάρος φυσικά των γνωστών υποζυγίων. 
Βλέποντας τη διαφορά που πήρε η ΝΔ στις ευρωεκλογές και τις δημοσκοπήσεις να της δίνουν σταθερό προβάδισμα, οι νεοφιλελεύθεροι 'τζιχαντιστές' της δεξιάς έχουν αποθρασυνθεί εντελώς και δεν μπορούν να κρατήσουν ούτε τα προσχήματα. 
Σοκ και δέος, λοιπόν, αυτή τη φορά από τις δηλώσεις του Μπάμπη Παπαδημητρίου. Ο δημοσιογράφος του ΣΚΑΪ και υποψήφιος βουλευτής με τη ΝΔ δήλωσε στον ραδιοφωνικό σταθμό Real News ότι «η εποπτεία λέει ότι τα κόκκινα δάνεια, τα οποία είναι το μεγάλο πρόβλημα των τραπεζών και τις εμποδίζει να κάνουν πιο καλά τη δουλειά τους θα απορροφηθούν τ…