Another writer interprets Canadian federal budget “bail-in” as allowing for Cyprus-style confiscation of bank deposits
The Canadian Government Offers “Bail-In” Regime, Prepares For The Confiscation Of Bank Deposits To Bail Out Banks (http://www.zerohedge.com/contributed/2013-03-30/canadian-government-offers-bail-regime-prepares-confiscation-bank-deposits-ba)
Reggie Middleton, Zero Hedge | March 30, 2013
Part of the Canadian budget (pages 144-145) quoted:
… The Government proposes to implement a “bail-in” regime for systemically important banks. This regime will be designed to ensure that, in the unlikely event that a systemically important bank depletes its capital, the bank can be recapitalized and returned to viability through the very rapid conversion of certain bank liabilities into regulatory capital. …
‘
‘
‘
If the muppets in Canada don’t wake up to the idea that our Canadian banks were complicit in the creation of this legislation, they are doomed.
We are left to believe there was no discussion, no debate, no nuttin’ on this? Somebody’s telling me it’s raining outside…
It was just slid in, hoping to be missed. And then, all of a sudden, up blew the Foreign Worker debacle and this dropped from the media. SUNTV was the only one to cover this stunner. Brian Lilley.
Canuck Muppets are now on the hook for Canadian banks. But we should feel safe, right?
Not so fast.
Until the Canadian Banks come clean on their exposure to the derviative markets, the rehypoticated assets, the PMs backing their certificates, we are sitting there, with nothing more than hopium.
http://www.zerohedge.com/news/why-uk-trail-mf-global-collapse-may-have-apocalyptic-consequences-eurozone-canadian-banks-jeffe
This legislation has just rendered our deposit insurance moot, severed the risk/reward chain and turned the credit ladder upside down, where once the depositors were the last in line to get screwed, they are now first.
Good luck, Canucks!
I’d recommend a good safe, especially for what’s coming in a catastrophic cascading chain of events from the EU sooner or later.
Hope I’m wrong.
•∆•
V-V