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Who took a dump on Ireland ?

Who took a dump on Ireland – bankrupting her in the process – And making her people pay?

Bottom Line: Usual Suspects

“They are bankers’ losses. It is NOT a question of Irish or German. It is question of wealthy bankers from all countries not just Germany (almost every nation, Germany, America, Russia, France, Britain, did dirty work in Ireland) and their corrupt Irish helpers versus the people. It is not a question of should the Irish people or the German people pay. Neither people should. It should be the bankers, who made the losses, (and) who should take them.”

First, the suspects

Ireland also houses a very large chunk of the world’s Special Investment Vehicles (SIV’s) which are the shell companies which house trillions and trillions of dollars and Euros and pounds worth of Collateralized Debt Obligations (CDOs). These are what Warren Buffett described as “weapons of financial mass destruction'”.

These CDOs, in turn, house an equal or greater nominal value of Credit Default Swaps (CDS) written upon the CDOs. I can’t tell you the figures because only the Irish Stock exchange has the otherwise completely confidential paper work and…serious doubts (exists) that the Irish regulator and stock exchange have much of a clue themselves.

So, to the crime

German banks used to fly their people from Germany to Ireland in order to do deals that were not allowed in Germany. German banks set up subsidiaries in Ireland. These subsidiaries were often registered as completely Irish companies. Back in Germany the German regulator had strict and enforced rules…But these good rules, properly enforced meant German banks could not do many of the most lucrative and in hind sight reckless kinds of deals.

So the German banks would do the figures and work it all out in Frankfurt, then send a banker over to Ireland, get them to sit at ‘their’ desk in Ireland, in the Irish bank, and do the deal there. The legal registration of the deal and the ‘oversight’ were all Irish. This is known in the financial world as jurisdictional arbitrage. You and I would call it cheating if we were feeling charitable and lying if we weren’t.

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