Static Kill of Anglo

August 8, 2010

“I think calling for it to be extended is absolutely the right thing to do,” Anglo Irish CEO Mike Aynsley told national broadcaster RTE in an interview.

“The banking system here is not stable at this point in time and needs to be stabilised. Until this happens, the government will need to continue to support the underlying markets.” Aynsley agreed when asked if another 12 months was the right timeframe for the extension.”

We should not extend the guarantee to include Anglo period. It’s not systemic to the Irish banking system. Depositors should be offered in conjunction with BOI and AIB simplified ways to transfer deposits to these banks. The guarantee should be extended to include only AIB and BOI.

Anglo was and is purely a property investment bank. The good loans that remain of €10 – 15bn invested in a newly incarnated ‘good bank’ could at best serve 3% – 5% of the Irish market, but who would bother to go near it?

We need a good ’static kill’ of Anglo. Currently Anglo has leaked losses to the Irish taxpayer of €22 bn.  But these losses are mounting and could reach figures way in excess of this figure as the NAMA process continues.

“BP is doing everything we can to make this right. We continue to work to stop the flow of oil, clean up the environmental damage, and help make sure that people are compensated for their losses.”

Taxpayers should only support losses at Anglo in a quid pro quo with Anglo bondholders.

Its a moral hazard crime against taxpayers to embark on a crazy project of unknown cost to reinvent Anglo to benefit failed bankers against the more sensible option of ‘polluter pays’.

Isn’t it about time we took control of our country away from bankers and FF who’ve sold out to them and are no more than the glove puppets of international financiers whose least concern is the Irish taxpayer.

Nick Webb in Business Section, Sunday Indo, today Aug 8 deserves kudos for his FOI research into appointment diaries of the Secretary General of the DofF, David Doyle and his recent replacement, Kevin Cardiff. Webb noted many meetings in the runup to meltdown in 2008 with Former Fianna Fail General Secretary Pat Farrell, who happens to be chief executive of The Irish Banking Federation, the main lobby group for the banks.’Former Revenue Chief Frank Daly popped in two days after the collapse of Lehman Brothers on Sept 15. He would be appointed to the Board of Anglo Irish Bank some weeks later.’

More research into the precise relationships between the banks and FF should be done.

So who, if not rudderless FF, has taken over. Whose in charge of policy and democracy: Here you go, read the following ‘we can be very nice once we get our money’ speech from Farrell:

Turning the Corner – Speech by Pat Farrell, Chief Executive, Irish Banking Federation
May 07, 2010

Er no, the speech wasn’t given by mobile phone from Mountjoy:) Interesting points about taxpayers getting paid back their investment in the banks in the future, we’d all like more detail on that phantasm. ‘Turning the Corner’ means banks are a little bit better with screwed taxpayers money. It also means the bankers have begun to get the upper hand in the tug of war between bankers and taxpayers. The Anglo Black Hole not alluded to!

It would appear the country is being run by the banks!


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