How Cyprus Exposed The Fundamental Flaw Of Fractional Reserve Banking

How Cyprus Exposed The Fundamental Flaw Of Fractional Reserve Banking (ZeroHedge, March 31, 2013):

In the past week much has been written about the emerging distinction between the Cypriot Euro and the currency of the Eurozone proper, even though the two are (or were) identical. The argument goes that all €’s are equal, but those that are found elsewhere than on the doomed island in the eastern Mediterranean are more equal than the Cypriot euros, or something along those lines. This of course, while superficially right, is woefully inaccurate as it misses the core of the problem, which is a distinction between electronic currency and hard, tangible banknotes. Which is why the capital controls imposed in Cyprus do little to limit the distribution and dissemination of electronic payments within the confines of the island (when it comes to payments leaving the island to other jurisdictions it is a different matter entirely), and are focused exclusively at limiting the procurement and allowance of paper banknotes in the hands of Cypriots (hence the limits on ATM and bank branch withdrawals, as well as the hard limit on currency exiting the island).

Read moreHow Cyprus Exposed The Fundamental Flaw Of Fractional Reserve Banking

Cyprus President’s Family Transferred TENS OF MILLIONS To London Days Before Deposit Haircuts

Cyprus President’s Family Transferred Tens Of Millions To London Days Before Deposit Haircuts (ZeroHedge, March 31, 2013):

A day after former Cypriot President Vassilou was found to be among many elite Cypriot (politicians and businessmen) who had loans written-off by the major (now insolvent) banks; it appears the rot is far fouler than expected. In a somewhat stunning (or purely coincidental) revelation, ENETEnglish reports that Cypriot newspaper Haravgi claims that current President Nicos Anastasiades’ family businesses transferred ‘dozens of millions’ from their Laiki Bank accounts to London just a week before the devastating depositor haircuts were unleashed upon his people. Of course, the denials are loud and Anastasiades has demanded an investigation into the claims; we are sure the government-selected ‘independent’ committee will be as thorough as the Libor anti-trust investigators. As a reminder, as we noted yesterday, here are Cyprus’ gun control laws.

Via EnetEnglish,

A company owned by in-laws of Cypriot President Nicos Anastasiades withdrew dozens of millions from Laiki Bank on March 12 and 13, according to an article published in Cypriot newspaper Haravgi.

Read moreCyprus President’s Family Transferred TENS OF MILLIONS To London Days Before Deposit Haircuts

Cyprus Parliament President Says ‘No Future’ Under Troika, Calls For ‘Iceland’ Solution

Flashback:

How Iceland Overthrew The Banks: The Only 3 Minutes Of Any Worth From Davos (Video)

Impossible In America: ‘Executives At Collapsed Iceland Bank Jailed For Fraud’ (Reuters)

The Icelandic Success Story

Iceland’s Economy Now Growing Faster Than The U.S. And EU After Arresting The Banksters

Here Is What Happens If You Do Not Bail Out The Banksters And Avoid Getting Raped By The IMF

Two Thirds Of Icelanders Oppose EU Membership

A Lesson For Europe: Why Iceland Won’t Join The Euro (Video)

Iceland Once Again Tells IMF, UK, Netherlands To ‘Go to Hell’; ‘Ice Torture’ Repayment Scheme Collapses


Cyprus Parliament President Says “No Future” Under Troika, Calls For “Iceland” Solution (ZeroHedge, March 30, 2013):

Just last week Yiannakis Omirou, Cypriot House of Representatives President, was calling for the nation to accept it is “time for responsibility” as they progressed towards a final solution; and yet today, as Cyprus’ Famagusta reports, he believes the ‘Troika-imposed’ responsibility will, “turn Cyprus into a colony of the worst possible type.” His ‘Icelandic’ solution is to “leave the Troika and EMS behind,” to ensure “national independence, national sovereignty, moral integrity, and economic independence.” He may have a point; judging from the chart below of the Troika’s poster-child Greece, relative to Iceland, things are not going so well. As Omirou ominously concludes, “if we remain bound by the Troika and the memorandum Cyprus’ destiny is already foretold and there will be no future.”

Via Famagusta Gazette,

There is no other alternative but to free Cyprus from the bonds of the troika and the memorandum, House of Representatives President Yiannakis Omirou has said.

Read moreCyprus Parliament President Says ‘No Future’ Under Troika, Calls For ‘Iceland’ Solution

Fusion Center Director: We Don’t Spy On Americans, Just Anti-Government Americans

Fusion center director: We don’t spy on Americans, just anti-government Americans (RT, March 29, 2013):

Law enforcement intelligence-processing fusion centers have long come under attack for spying on Americans. The Arkansas director wanted to clarify the truth: centers only spies on some Americans – those who appear to be a threat to the government.

In trying to clear up the ‘misconceptions’ about the conduct of fusion centers, Arkansas State Fusion Center Director Richard Davis simply confirmed Americans’ fears: the center does in fact spy on Americans – but only on those who are suspected to be ‘anti-government’.

“The misconceptions are that we are conducting spying operations on US citizens, which is of course not a fact. That is absolutely not what we do,” he told the NWA Homepage, which supports KNWA-TV and Fox 24.

After claiming that his office ‘absolutely’ does not spy on Americans, he proceeded to explain that this does not apply to those who could be interpreted as a ‘threat’ to national security. Davis said his office places its focus on international plots, “domestic terrorism and certain groups that are anti-government. We want to kind of take a look at that and receive that information.”

Read moreFusion Center Director: We Don’t Spy On Americans, Just Anti-Government Americans

PM Julia Gillard Set To Sign China Currency Deal Enabling The Australian Dollar To Be Converted Directly Into Chinese Yuan

PM set to sign China currency deal in boost to exporters (The Australian, March 30, 2013):

A CURRENCY deal enabling the Australian dollar to be converted directly into Chinese yuan, slashing costs for thousands of businesses, is set to be the centrepiece of Julia Gillard’s mission to China next weekend.

Australia would become the third country, after the US and Japan, to secure such an arrangement from China, which is Australia’s top trading partner, with exports and imports totalling $120 billion last financial year.

At present, companies doing business with China must pay the added cost of converting their Australian dollars into US dollars or yen, and then into yuan.

Read morePM Julia Gillard Set To Sign China Currency Deal Enabling The Australian Dollar To Be Converted Directly Into Chinese Yuan

The Federal War On Hemp

The Federal War on Hemp (The Future of Freedom Foundation, March 28, 2013):

It is one of the earliest-known domesticated plants. It is resistant to saltwater. It doesn’t require pesticides or harsh fertilizers. For hundreds of years all the major European maritime powers needed it to maintain their fleets. Its fiber is suitable for making clothes, paper, building material, and insulation. It can be turned into biofuel and converted to biomass. Mechanical Engineering magazine once hailed it as “the most profitable and desirable crop that can be grown.” It has nutritional benefits. It can be used as animal bedding. It can be used in the production of soap and cosmetics. It is biodegradable. Rudolph Diesel designed his engine to run on its oil.

Read moreThe Federal War On Hemp

The Puppet Master: Government

The Puppet Master: Government (ZeroHedge, March 30, 2013):

It has been well and often said that only two types of “paper” money have ever existed in history – those that are already worthless and those that are going to be. Eventually, the physical pieces of paper or plastic which have been given a function as a medium of exchange by government order may remain – but their purchasing power on the market does not. The transition point always comes when the “promises to pay” on which the fiat money depends are exposed beyond the possibility of denial to be the LIES which they always were. History is replete with examples, yet very few ask the obvious question: “Pay? – WITH WHAT??” One of the great wonders of the twentieth century was the lengths to which the economics “profession” proved willing to go to avoid even facing that question let alone trying to answer it.

Read moreThe Puppet Master: Government

Criminal Act: The European Union’s Financial Looting of Cyprus

Related info:

Cyprus: Why Big Depositors Are Facing A Complete Wipe Out

Another Non-Russian, Non-Oligarch, Non-Billionaire, Non-Tax Evader Speaks Up: ‘I Went To Sleep Friday A Rich Man, I Woke Up Poor’

TOTAL ECONOMIC COLLAPSE AWAITS CYPRUS – Caught In The Cyprus Crossfire: Small Businesses Suddenly With Zero Cash

Have The Russians Already Quietly Withdrawn All Their Cash From Cyprus? … YES!!!


Criminal Act: The European Union’s Financial Looting of Cyprus (Global Research, March 29, 2013):

The bailout imposed on Cyprus by the European Union (EU) is a politically criminal act of financial looting, aimed at destroying the country’s banks and reducing the working class to penury.

In the name of avoiding state bankruptcy, the small Mediterranean island of some one million people is being subjected to the type of shock-therapy already inflicted on Greece.

The terms of the €10 billion loan dictated by the EU, European Central Bank (ECB) and the International Monetary Fund include winding up Laiki bank—Cyprus’ second-largest bank—and transferring its debts to the ECB to the Bank of Cyprus, which also faces major restructuring. An additional €5.8 billion is to be raised by imposing severe penalties, of 40 percent and more, on bondholders and those with bank deposits over €100,000.

Read moreCriminal Act: The European Union’s Financial Looting of Cyprus

Utah Sheriffs Association To Obama: From Our Cold Dead Hands

Utah Sheriffs Association to Obama: From Our Cold Dead Hands (Breitbart, March 28, 2013):

As sheriffs across the nation signal opposition to enforcing additional federal gun regulations, the Utah Sheriffs’ Association sent a letter to President Obama assuring him that its members similarly will not comply.

The letters insists that the rights of Utah citizens trump any new gun control measure that Congress might pass, and sheriffs in Utah are prepared to trade their lives in defense of their constituents’ right to keep and bear arms.

The letter, signed by 28 of Utah’s 29 sheriffs, sternly rejects the citation of recent tragedies as Congress’s rationale for expanded gun regulations:

Read moreUtah Sheriffs Association To Obama: From Our Cold Dead Hands