• It has come to our attention that some users may have been "banned" when they tried to change their passwords after the site was hacked due to a glitch in the old vBulletin software. This would have occurred around the end of February and does not apply after the site was converted to Xenforo. If you believe you were affected by this, please contact a staff member or use the Contact us link at the bottom of any forum page.

To what extent should Europe be on the hook for the Anglo collapse ?


cyberianpan

Well-known member
Joined
Jan 18, 2006
Messages
16,630
Website
www.google.com
We all know the story

  1. Anglo(+INBS) was regulated by our FR/CB
  2. It got a massive influx of foreign liquidity which fuelled our boom/bubble
  3. It collapsed leaving senior bondholders and depositors at risk
  4. The government stepped in

However the ECB and the then CEBS had a role in overseeing the Irish economy and banking system. As is known the general banking system in the Eurozone benefited from the seniors being bailed out. So does Europe(i.e. Eurozone countries) owe Ireland a debt here ?

Personally I do, but I think it only a proportion of the debt as Ireland was mainly responsible for this mess.

What do you think ?


cYp
 

Aristodemus

Well-known member
Joined
Oct 8, 2009
Messages
3,741
Lenihan (Ireland's geatest patriot) and Cowen went on a solo run with regard to Anglo. The chickens came home to roost and we are stuck with the bill. Enda's pathetic attempts to cosy up to the German opposition leader will come to naught. If we don't pay it the germans have to. Does he honestly believe a German politician is going to give him comfort in ths regard?
 

ger12

Well-known member
Joined
Feb 25, 2011
Messages
48,255
It's our mess. Full stop.
 

Con Gallagher

Well-known member
Joined
May 25, 2010
Messages
2,413
Why should European taxpayers pay for it? Those who hold banking bonds should have paid and those remaining to be paid need to be cut (with ecb approval).
 
M

MrFunkyBoogaloo

What is Ireland's exposure to Anglo? - i.e. money which the state had to hand and pumped in as opposed to money it borrowed for the same purpose.
 

ibis

Well-known member
Joined
Mar 12, 2005
Messages
12,359
What is Ireland's exposure to Anglo? - i.e. money which the state had to hand and pumped in as opposed to money it borrowed for the same purpose.
Relatively little for Anglo, oddly enough - in fact, as far as I can see, nothing for Anglo.
 

Rocky

Well-known member
Joined
Dec 9, 2004
Messages
8,550
It's an interesting question, but in most respects it's too late for this debate.

Anglo has been nationalisied by the Irish state and it's debts have been paid. What the Irish government is doing now, is essentially paying back our Central Bank, who paid Anglo's debts by creating money.
 
M

MrFunkyBoogaloo

Relatively little for Anglo, oddly enough - in fact, as far as I can see, nothing for Anglo.
Apart from the 3.1 bn the state already handed over - and the other 3.1bn converted to sovereign debt (though that could be reduced).

So which creditors get fried - so to speak - if the Anglo PN is defaulted upon?
 

IbrahaimMohamad

Well-known member
Joined
Feb 5, 2013
Messages
4,226
It's an interesting question, but in most respects it's too late for this debate.

Anglo has been nationalisied by the Irish state and it's debts have been paid. What the Irish government is doing now, is essentially paying back our Central Bank, who paid Anglo's debts by creating money.


Is there some magic way of repaying money that was magically created?
 
M

MrFunkyBoogaloo

It's an interesting question, but in most respects it's too late for this debate.

Anglo has been nationalisied by the Irish state and it's debts have been paid. What the Irish government is doing now, is essentially paying back our Central Bank, who paid Anglo's debts by creating money.
Anglo's debts are not our debts. It is never too late for that debate.
 

Keith-M

Well-known member
Joined
Jul 24, 2007
Messages
15,779
Website
www.allkindsofeverything.ie
It depends. If it can be proven that Germany leant on the ECB who in turn leant on Ireland to now allow Anglo to go down the way it should have done (and the way the US and UK allowed banks to go down) then Europe should be on the hook for the bondholders. Depositors should still be the responsibility of the Irish government.
 
M

MrFunkyBoogaloo

I'm not convinced by the argument that Irish taxpayers should/have to bear this burden so I'm convinced that German or other European taxpayers should either.
 

firefly123

Well-known member
Joined
Dec 8, 2009
Messages
28,158
My personal view is the EU has about as much responsibilities as the Irish people. In otherwords none! It was a private specialised bank. Let it go. Whoever screams loudest will have to pay. Jesus Christ just let it go and see what happens. It can't be any worse that paying it off 100% + interest.
 

shiel

Well-known member
Joined
Feb 14, 2011
Messages
16,898
The lads and lassies running the bank were Irish, based in Ireland and regulated by Irish regulations.

There would have been holy murder in Ireland if they were refused when they went looking for loans from the foreigners.

So the Irish people running the bank are responsible.

But given the dangers inherent in the process the ordinary paddy joe and patricia josephine should have been warned by media and regulatory authorities of the possible serious consequences of what was happening.

They were not.

Quite opposite in fact. The people in that bank were lauded.

Now that the chickens are roosting in the rafters and ************************ting all over the rest of us I feel that Europe should intervene and help clean up our mess.

But calling them foreigners, whom we are expecting to help us out, rude names and blaming them for the mess is not a good idea.
 
Top