EU Turns up the Heat on Greece: Stands Ready to Lock Out Greeks From Their CASH

from The Wealth Watchman:

The headlines now coming out of Greece each day are nothing short of heartbreaking.  With the brinksmanship between Greek leadership, the Troika, and German financial ministers now reaching a fever pitch, the people of Greece are stuck in purgatory, wondering when and where a sustainable, financial future will begin for them.

The poverty that has struck most levels of society there have now grown so severe, that nearly a quarter million people Greeks have applied for humanitarian aid.  To make matters worse, the longer their populace goes without any sort of deal, the worse the joblessness gets.

If things weren’t bad enough though, there’s another huge problem: cash in the Greek banking system is scarce, as bank deposit outflows in Greece have been so drastic in 2015, that it threatens the solvency of their entire financial system.  If you’re thinking, “ya know, this disaster scenario seems vaguely familiar”, then you’re right.

Surprise Attack

If you’ll remember just 2 years ago, depositors in the island nation of Cyprus found themselves also unable to trust either their banking system or EU promises, and had the nerve to withdraw their own money from Cypriot banks.  The outflow for a nation that small, was gargantuan. Here’s a chart of what it looked like:

Of course, we all know how that ended: rather than let a mere million people cause a chain reaction of bank-runs across Europe, the order was given to Cyprus to freeze the deposits of their citizens, and “bail-in” some failed banks, using much of depositors’ funds.

This was the sight that greeted hundreds of thousands of Cypriots at their local bank:

It was a “dagger in the back”, the ultimate betrayal, and the ultimate capital control.

ATM’s were on lock-down.   

The depositors’ cash was seized.

The banks’ doors were closed.

And safety deposit boxes?  Forget about it.  

Citizens, rich and poor, woke up to the terrifying reality that everything they’d saved in their bank, was on the chopping block.  Panic was in the air.  Lines formed around every bank across the country….with the most fortunate folks only able to access a few hundred Euros a day.

Shortly after that trainwreck played out, and everyone’s lives were ruined…Europe’s minister of finance, Jeroen Dijisselbloem thought that the theft of billions of euros went so “swimmingly”, that he called that bail-in a “template for Europe”.

The banksters in the West seemed to agree with Dijesselbloem too!  For soon they’d blanketed the entire Western world, from the US to Canada, from the EU to the UK, from Japan to New Zealand….with legislation that made bank bail-ins a workable proposition.

Greece’s Cypriot Moment?

Let me ask you something: do you think the financial elites drafted all that bail-in legislation in 2013 just for the fun of it? Or do you suppose they did so, because they knew they would be using it?

Read More @ TheWealthWatchman.com