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Bankers Confess to Intentional Fraud and Theft … In Ireland

Under the category of things we already knew but now we have proof, the WSWS (yup, them socialists) has a new piece entitled, Ireland: Bankers joke about their €7 billion bailout scam.  The information for this story came from the Irish Independent’s story titled: How bankers planned policy of deception (June 27, 2013).

Seems the Irish Independent released transcripts and audio of a recorded phone conversation between Irish Banking executives on September 19th, 2008  in which they literally spell out their fraudulent actions and how they were going to rip-off the Irish taxpayer, and they didn’t care a whiff about the Irish taxpayer or Ireland.  Where they got this audio is still unknown.  But … well we’ll talk about it at the end.

[warning, rant ahead, skip next paragraph to continue the story]

(Sound familiar?  Seems the government and regulators were in on it too (or they are the most absurdly competent people on this planet, except for Congress and our regulators.  If anyone even mentions the term “jail time” or “consequences” as a possibility for these folks in the comments, I will be referring you for mental treatment or a spiritual drop-kick to the head, whichever ones removes these delusional, unrealistic thoughts from your head.  Taxes are for the little people.  Corporations are people too?  I guess so, because like the rich, they pay little to no taxes.  Also for the little people, ie. “the law”, which is nothing more than a sham that money can buy for you so the rich can oppress us more easily and efficiently.  Laws, written by the rich and to benefit the rich over the rest of us.  But I digress, … let us continue on with our heroic story where the organized banksters once again save the people of their respective countries, … by fraud, theft, lies, intimidation, bribery, coercion … and the government officials who are in bed with these sociopaths.)

So back to our fairy-tale story.  When Lehman went boom and the deceptive facade of the rich was slowly unraveling here, in Ireland all the banks were in trouble.  And the Irish banksters  knew it.  They just needed some accomplices (government and regulators – check).  They needed the chump to take the consequences of their mistakes (the Irish taxpayer and every man, woman, and child in Ireland – check).  And it’s on tape.

joking about how they had scammed billions of euros to bail out the now-defunct Anglo-Irish Bank.

The conversations provide an insight into the reckless, sneering cynicism of the ruling elite as they proceeded to swindle the working people to the tune of trillions of euros.

The bank was The Anglo-Irish Bank.  The players: John Bowe, the bank’s head of capital markets,  Peter Fitzgerald, Director of Retail Banking, and David Drumm, who was group chief executive at Anglo Irish Bank..  The cost?  Oh the cost! …

Before its final demise, around €30 billion was handed over to Anglo-Irish. The bank was nationalised in 2009 and recorded the largest loss in Irish corporate history in 2010 following the arrest of chairman and former CEO Sean Fitzpatrick for fraud.


In total, so far, some €64 billion was pumped in the Irish banks, and the government turned to the European Union (EU)-led “troika” for a €67.5 billion bailout in 2010.

Once again, laws and consequences are for the little people.  In fact it’s the little guy who’s paying for their mistakes and their actions.  This guy, and his friends will walk.  They have to walk.  If they don’t, they can spill the beans on the government officials, elected reps and regulators, who would never let one of their class suffer.  Suffering is also for the little people … bootstraps and all.

The conversations focussed [sic] on the Anglo-Irish Bank board’s attempt to stem the massive losses it suffered following the collapse of the Irish property bubble out of which it had made billions. The board’s sting was to downplay the scale of the bank’s mounting losses and sucker the authorities into offering large sums of cash. The hope was that, once committed, the Irish government and central bank would be unable to back out of further support.

Let’s go to the tapes … hear it from the sociopath’s mouth.

In one conversation, the retail banking director Peter Fitzgerald asked the head of capital markets, John Bowe, how he had arrived at a sum of €7 billion to bail out the bank. Bowe responded, “as Drummer [David Drumm, Anglo-Irish CEO] would say, I picked it out of my arse.”

He went on, “Yeah and that number is seven, but the reality is that we need more than that. But you know, the strategy here is you pull them in, you get them to write a big cheque and they have to keep, they have to support their money.”

Bowe elaborated on the calculation behind the figure. “If they saw the enormity of it up front, they might decide they have a choice…. They might say the cost to the taxpayer is too high. But if it doesn’t look too big at the outset…it looks big enough to be important, but not too big that it kind of spoils everything, then I think you have chance.”

Bowe makes clear that there is no likelihood of the gigantic sums given to the bank ever being repaid. “This is a €7 billion bridging. So you know, it is bridged until we can pay you back…which is never”.’

In any other world, ie. where the rich didn’t own the place outright, … but we don’t live in that world.  The tapes clearly reveal a plan to defraud and cheat the Irish taxpayer.  And it succeeded.  When anyone does this much intentional and reckless damage to a society, isn’t that treason?  At what point does it become treason?

It worked the way it was supposed to work:

The bank guarantee and the “troika” bailout set in place a mechanism to hone the Irish state and political system into a means to fleece the working population of its wages, welfare payments and social services, to pay the major European banks for the local oligarchy’s speculative debts. Regardless of their political coloration, all the parties and trade unions supported and continue to support the brutal repayment regime and the social destruction it has set in motion.

I will end of with what I believe to be a very concise analysis of this issue in one of the closing paragraphs:

Immediately after the publication of the Anglo-Irish tapes, Taoiseach and Fine Gael leader Enda Kenny reluctantly announced that the necessary legislation would be processed and a “parliamentary inquiry” set up. Kenny’s belated announcement has nothing to with investigating the truth of what took place, notwithstanding hypocritical expressions of outrage and disgust. Rather, it is another notch in the incremental process of delay and the diversion of immense public anger.

And there it is.  Delay, delay, delay.  How many banksters have been put on trial (not counting Iceland).  The government is fully in bed with these types.  Some of them are of that class.  Others want to be of that class.  Either way, the taxpayer is looted.  Even with this smoking gun … he who has the gold makes the rules.

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