Thursday, May 9, 2013

If Cyprus Is the Bellwether, then Canada Is the Red Flag

Jeff Thomas, International Man
Casey Research

An intriguing article titled "Canada Includes Depositor Haircut Bail-In Provision for Systemically Important Banks in 2013 Budget" was recently published in SD Bullion.

The somewhat lengthy title offers all the information necessary, but for those who – quite understandably – may not be able to accept that they have just watched Canada tumble down the Cypriot rabbit hole, here is a bit more detail from the approved budget itself:

"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."

Customer deposits could certainly fall under the label of "certain bank liabilities," and converting them into "regulatory capital" without permission is just a gentle way of describing confiscation. Though Canadian officials have denied that the term "certain bank liabilities" includes customer deposits, we must note that the government in Cyprus also promised that customer deposits would not be touched, only to renege on that promise at the onset of the crisis. Remember lesson #1 of the Cyprus debacle: "Do Not Trust Politicians."

As the recent events in Cyprus have been unfolding, each iteration has seemed to me to be not only logical, but almost predictable. As Jim Sinclair has recently been stating frequently, the EU has run out of options… The next step is confiscation.

There will, of course, be endless rhetoric and debate, followed by minor adjustments in method and percentage taken, but, ultimately, the powers-that-be have reached the confiscation stage. That is now carved in stone.

But at this point, if we are watching the horizon, we will spend less of our time mourning the fall of Cyprus and more of it anticipating which countries will be next in line.

Here, I confess, I have been surprised. There were quite a few countries that, logically speaking, might have been next. Canada was not even on my personal radar. This is not to say that it would not also be in the queue – only that I would have predicted its position in the queue to be quite a bit further back.

Those observing recent developments may have understandably been saying to themselves, "I realize that we live in difficult times and that, if I am to look after my family's future, I need to face up to the fact that we may be seeing dramatic change. But there are some things I can't accept, and one of those is the possibility that my savings could be confiscated by my bank. My government would never allow it!"

For those who very understandably may find this latest realization to simply be beyond the pale, it would be well to take a moment out to rise above the clouds for a bit of an overview at this juncture.

In most countries of what we grew up calling the "Free World," there has been a steady deterioration, particularly with regard to corporatism (the merger of state and corporate powers). One facet of that deterioration has been increasing legislation that allowed financial institutions to create Ponzi schemes with regard to lending, in which the bank goes broke in the end but the cost for the failure is passed to the taxpayer in the form of a bailout.

Put more simply, this means that after the fox has raided the henhouse, the government advises the public that the only way to save the situation is for the government to confiscate more hens from the farmers and give them to the foxes.

The public, desperate to return to "normal," will accept whatever the government says at this point, in the hope that it will all somehow turn out all right. Only a tiny percentage will be prepared to say, "We've been systematically raped and robbed by both our government and our banks, in full complicity with each other. It's high time I put what I have left in a sack and find a way to protect it on my own."

Those few who do so will turn to safe havens for wealth (however much or little that wealth may be). They may invest in overseas properties that cannot be confiscated by their own governments, buy precious metals and store them privately, and so on.

The objective will be simply to make it as difficult as possible for their governments to confiscate their wealth.

While there may be no guarantee that they will succeed, they would know that at the very least, they will not be the low-hanging fruit when their government enters the orchard to begin the picking.

However, as history shows, the great majority of the people of all countries will fail to act. They will watch in confusion as events unfold, as the banks continue to come up with schemes to further bilk the public of their wealth, while the governments assure the public that, "It's an emergency situation. We have to be willing to sacrifice a bit more to save the system, or we'll really be sorry." In the end, the majority of people will comply.

Cyprus is a bellwether of what is next for the world in general. A term has even already been coined for what is coming – a "bail-in." An event in which the public must accept that, in order to save the banks from collapse (which they have been told since 2008 is the absolute worst possible outcome), they must accept that they must make their "contribution" – confiscation of their deposits by the banks. First, it will be, say, 5%, then it will be announced that 5% didn't solve the problem and another transfusion will be needed. Then another.

Some people will figure out along the way that they are being robbed by both their government and the banks, working in concert, but most will regard that reality as impossible, as it has never happened before and surely can't happen now.

If Cyprus is the bellwether, then Canada is the red flag, showing that Cyprus is not an isolated situation. The damage wreaked by monumental debt is systemic, and it has taken place throughout the First World and beyond.

This latter statement will very likely be the most difficult to accept as reality. If so, here is something to consider: Canada has approved its bail-in on a national level just one week after a final decision was made in Cyprus. As we all know, the wheels of governments worldwide move slowly. The reader might ask himself whether he believes that the Canadian government has, in short order, approved its own bail-in, in reaction to the events in Cyprus. If this possibility is simply too far-fetched, he must accept that the plan for Cyprus has been known to the Canadian government for some time and that a similar bail-in for Canada has been in the works for a while. It was simply agreed that Cyprus would go first – to act as the litmus test.

If the reader finds himself agreeing that it is likely that the Canadian government had foreknowledge of the events in Cyprus, his next logical conclusion would be that other nations had the same foreknowledge and have very likely been getting their own ducks in a row.

Most countries in the First World have gone down the same road of monumental debt and have found that that road has led to a precipice. At this point, they have no other option left in their bag of tricks. They are all in the same boat and will play their last option – confiscation of wealth.

While many First World citizens think that events like those unfolding in Cyprus could never happen in their home country, the truth is precisely the opposite – and actions like the Canadian government's send a strong signal that the time to protect your wealth from governmental grabs is running out.

There are a number of diverse steps you can take to protect yourself and your wealth from being milked by your home government. Whether you're looking to stash some cash or precious metals in another country, interested in setting up an offshore LLC, or wanting to go completely international with your life and your assets, the comprehensive information in Going Global 2013 will provide you with sound strategies and trusted options for securing your financial future. Learn more and get started protecting your wealth today.


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Anonymous said...

Canada is the perfect north American trial ballon. The Canadians will take it with a smile on their face. They are the least aware of anyone in the world of global government dictatorship that will soon send them to poverty. Living in poverty in terrible weather. Ain't that a shit sandwich-dummies.

Anonymous said...

those G8,G20, Bilderberger meets, etc are working, ehhh.
Just not for you and me.

The true faces behind it all are greedy without end.
This will be their undoing, good riddens....

Ryan said...

The Canadian Sheeple do not care. They are fast asleep...

As a Canadian, I just want to vomit.

That this was in place BEFORE Cyprus was raided only goes to show that the ground work for raping the Canadian public is being put in place. The only question now is "when" will they be raped?

Anonymous said...

Agreed, as a Canadian I can tell you they are deep in the deception and have no F'n clue as to the seriousness of the situation. May the guilty burn in hell!

Anonymous said...

I'm in BC and can agree with the above (except the uncalled for insults at 6:50) I've told people this was in the budget and they look sorta disinterested then ask if I saw this or that commercial on teevee.

Anonymous said...

shhh....let them sleep. Most do not, and will not wake up. Get your own plan together...tell friends and family that will listen to protect their assets. This will only be the beginning.

It doesn't help that the MSM doesn't report this stuff (oh, they're not suppose to) I even had trouble re=locating the official doc...lots of fluffy "budget highlights"

BattleStarGalactica said...

I agree that the majority of Canadians are asleep at the wheel as are the populations of most first world countries.
I had spent a decade trying to share knowledge and make others aware but alas for the most part in was like talking to a wall.
Seems like most here in BC give importance to obviously important issues like the Vancouver Canuckle heads not making the playoffs (oh my, how will I ever sleep at night)
As long as your not rocking the boat as to what the masses are collectively thinking, as long as you don't interrupt the peoples ability to sit in a drive thru for 10 minutes at Tim Horton's because, God forbid anyone impeding our God given right to order a large Cafe Mocha, caramel flavoured frozen caffeinated beverage whilst defending our beloved Canucks, there will no bitching aboot a pipeline or homeless people or any social issue at all because Canada's Top Chef's season finale is on tonight right after Big Brother Canada's reunion show.
What's this aboot the banks eh?

Anonymous said...

Here in Ontario, people are a snoozin' as well. Try to tell people what's going on and they get real squeamish and either try hard to change the subject or leave the room and talk about sports. Or, they look at you like you have two heads and call you a crazy conspiracy theorist! People can't seem to wrap their heads around the fact that the banks create money out of thin air and loan it to governments at interest, putting us all in debt. A responsible government can create the money we need through the Bank of Canada- debt free, interest free, and backed by the goods, services, and productivity of the country, making it inflation free! It was done from 1939-1974 but the banker corporate fascists put a gun to Trudeau's head and demanded it all! These sociopaths aren't happy with just controlling the world, which is the hallmark of someone who is devoid of conscience, soul, and intellect. They must be overcompensating for lacking something else in their lives! All I can say is, WAKE UP CANADA!

Anonymous said...

Did you see Crosby split the Islander defense & score that goal last night?

Anonymous said...

Most Canadians don't even know that Canada is still officially a monarchy with it's "own" Royal Family - but with the British Queen still being the head/reigning patriarch of that Royal Family.

Most Canadians don't know that despite the media's constant references to the PM being the 'head of state' officially Canada's Head of State is still the Queen, or her proxy of power the Governor General.

It's not just symbolic, it's still official - and the idea that our elected politicians (and thus the people by proxy) actually rule our nation is the real symbolic but actually meaningless bit of it all.

Many people I told about the banker theft in Greece said it could never happen here, after pointing out our government has already OK'ed using those tactics here they suddenly start paying attention.


Anonymous said...

ramblings from around the office today:


"did ya hear Randy Jackson is leaving American Idolz?? OH NOZZZZZZZ!!"

"well my cell phone has a 6gb data plan where as yourz only has a 2gb data plan. Therefore you are inferiorz."

"Nobody needs guns anymore especially hunterz. Like duh? Dont they know they can just go to the grocery storzz?"

"Like, Oh Ma Gawdz! Its Friday! Lets get wasted and go dancing!!"

or my personal favourite: someone acting superior to you because they have a bigger amount of available credit. Not savings. CREDIT.

Ya, we're doomed.

Anonymous said...

This from the Financial Post today

Anonymous said...

"Anonymous said...

This from the Financial Post today
May 10, 2013 at 1:52 PM"


Anonymous said...

@ Anon - "This from the Financial Post today "

"bullplop" is a good description but a more descriptive and logical response is this -

If the PTB's here honestly have no intention of ever implementing such a policy then why create the option to allow it - and in such a sneaky round-about way?

They expose themselves as liars by creating the option for them to "change their minds"(or propaganda anyways) later.

They would not need the option if they honestly never plan to use it - this isn't nuclear deterrence, it's banking.


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