CYPRUS: UP TO 40% THEFT FROM BANK ACCOUNTS

March 25th, 2013

Update: No Levies on Accounts with Balances Below €100,000

Via: Guardian / Liveblog:

Jeroen Dijsselbloem: “I would l like to emphasis that none of these measures will affect desposits below €100,000.”

—

Confirmation and details are not out. BBC is going with the following right now.

Via: BBC:

Eurozone finance ministers have agreed a deal on a bailout for Cyprus to prevent its banking system collapsing, officials say.

Reports suggest the deal will include a levy on deposits of more than 100,000 euros in Cyprus’ two biggest banks.

The levy on accounts in Laiki Bank – the country’s second-biggest – could be as high as 40%, correspondents say.

Cyprus needs to raise 5.8bn euros (£5bn) to qualify for a 10bn-euro EU bailout and avoid bankruptcy.

An EU official told the BBC that under the draft agreement, Laiki Bank will be wound down with “a significant levy” affecting those with deposits of over 100,000 euros.

Large deposits in the country’s biggest bank, Bank of Cyprus, could also be hit by the levy, reports say.

Laiki is also likely to be split into “good” and “bad” banks.

Earlier reports said good assets would be merged into Bank of Cyprus and administrators appointed to liquidate the remaining toxic assets.

Posted in Collapse, Dictatorship, Economy, Elite | Top Of Page

One Response to “CYPRUS: UP TO 40% THEFT FROM BANK ACCOUNTS”

  1. Calm says:
    March 25, 2013 at 8:26 am

    Forget Cyprus, Nobody Is Stealing from Depositors More than Bernanke

    “Nobody is stealing more money from bank depositors than Ben Bernanke,” Rickards tells The Daily Ticker. Bernanke’s doing that, Rickards says, by maintaining interest rates near zero.
    “At this stage of a recovery normalized interest rates should be around 2-3%,” says Rickards. “Apply that 2-3%…to the entire multi-trillion-dollar deposit base of the United States of America and that’s a $400-billion per year wealth transfer from savers to bankers so they can pay themselves bigger bonuses or make crazy bets.” Over time, Rickards says, that wealth transfer could reach $1 trillion.
    http://finance.yahoo.com/blogs/daily-ticker/forget-cyprus-noboby-stealing-depositors-more-bernanke-170851783.html

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