- Jun 9, 2007
Dr. Daniel Gros, formerly an economist with the IMF, has said, as some of us have speculated might happen, that the EU/IMF investigators will uncover massive fraud and corruption in their examination of the banking sector. He says that it 'beggars belief' that losses equalling more than 25% of Ireland's GDP have come out of nowhere just months after the 'all clear' by the (now exposed as worthless) stress tests.
He also says that they will have to go looking to get back significant Irish assets held abroad, just as they did with Argentina. He makes it sound like the rich and powerful have been busy squirreling away their wealth while the ordinary people are left to pay for the horrendous amount of debt. Surely some mistake?....Dr Daniel Gros believes that when the crisis is over the country will need a ‘truth commission’ similar to that established in Iceland to investigate and analyse the collapse of the banks and the lead-up to the catastrophic event.
Iceland found that senior politicians, regulators and bankers were all at fault for bringing down the country’s economy.
He believes that the troika – European Commission, European Central Bank and IMF – will expose the skeletons in the cupboards of the country’s banking system and adds that he believes the losses of €50 billion uncovered so far will be the tip of the iceberg.