Free Advice Is Sometimes Worth More Than You Paid for It. On That Note, Irishman... Take Your Money And Run!!!

Reggie Middleton's picture

Free advice is sometimes worth a little more than you paid for it. On that note, Irishmen should take note of how much you paid for this research and then... Take your money and run!

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Earlier this week, I warned the Germans - Angela Merkel Should Talk To Me If She's Truly Enraged By The Anglo Irish Revelation, For That's Just The Beginning! This warning was based on multiple earlier warnings to the Irish, summarized (more or less) in the posts - Ireland, You May Very Well Be Bust & I Make No Apologies For What I'm About To Show You and The Beginning Of The Great Irish Unwind and  If I Provide Proof That The Entire Irish Banking System Is A Sham, Does It Set Up A Much Needed System Reboot? Let's Go For It.... Today is the day to focus on two of those warnings in particular, .one of which I will focus on specifically:

These posts focus on an explicit and stern warning that AIB is drastically undercapitalized and quite possibly the purveyor of a massive fraud on the Irish people, US investors and regulators and German taxpayers.

First, let's review what the Phoenix had to say. In reading this piece from the Phoenix, please keep in mind that if the Bank of Ireland is the best that Ireland has to offer, than I believe that Ireland is fraudulently fuc2#ed. I clearly warned on the Bank of Ireland, one of the most egregious offenders - 17 April 2013 I queried "What Should The US Do If One Of The Biggest Banks In Ireland Blatantly Defrauded US Investors?"

Second, we anticipated fiscal problems in the Irish state as far back as 2010 when everyone swore that they were the poster child of austerity. Subscribers, see File Icon Ireland public finances projections.Professional and institutional subscribers should email me for a link to a live spreadsheet that can allow you to run your own calculations on toasted Ireland's finances really are. 

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Now, let's delve in once again, shall we? From Are You About To Get Cyprus'd in Ireland? When A Single Word's Worth Billions Of Euros...

AIB has inccurred significant debt from which the underlying collateral has significantly diminished. This caused the need for even more capital and more borrowing. It also apparently caused it to change the wording in its annual statements regarding repos, potentially allowing it to conceal financial aid in the form of even more debt .from another party. After all, when you borrow something it's a loan right, as in additional debt??? Below, you see a loophole for near unlimited borrowing, and not a peep will show up in the financial reporting!

Of course, theres more...AIB Charge DiscrepencyAIB Charge DiscrepencyAIB Charge Discrepency

Definitions: Charge - The document evidencing mortgage security required by Crown Law (law derived from English law). A Frixed Charge refers to a defined set of assets and is usually registered. A Floating Charge refers to other assets which change from time to time (ie. cashinventory, etc.), which become a Fixed Charge after a default.

The charge document below, which was registered with Ireland’s Company Registration Office (CRO), states that the charge is in respect of the Company’s participation in Target 2-Ireland. It is also in respect of ‘all present and future liabilities whatsoever’ of Allied Irish Bank Plc. (to the Central Bank and Financial Services Authority of Ireland or to the European Central Bank). The charge is over ‘Eligible Securities’.

Target2 is a European Union payment system. I believe it is misleading to indicate in the annual accounts that Target 2 has a bearing on the security that has been given.

In the short particulars section of the charge; the property charged to the Central Bank and Financial Services Authority is over ‘all rights, title, interest and benefit, present and future, of AIB Plc. in and to each of the Eligible Securities from time to time, where ‘ Eligible Securities’ means, at any time securities of such a class or description as may from time to time  be designated  by the ECB as ‘Eligible for  Sale and /or Purchase, as the case may be.’ (Refer to actual CRO charge document below)


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In the Irish version of the Bank’s annual Accounts (2008) and the SEC 20F (page 223 - 2) it states that the charge was placed in favour of the Central Bank and Financial Services Authority of Ireland over all of AIB’S ‘right, title, interest and benefit present and future in and to certain segregated securities.’
Using the description ‘certain segregated securities’ is completely different to the description all ‘eligible securities.’
It appears that AIB is stating that they have given ‘certain segregated securities’ as security to the ECB whereas the ECB actually decides which securities will be designated as ‘eligible’. The charge is in favor of the Central Bank and is over ‘all present and future liabilities whatsoever’ of AIB. This charge is a floating charge over repo agreements, aka Eligible Securities - securities that the graphic above demonstrates can go on ad nauseum and way beyond the entities prudent ability to repay, yet not appear on the balance sheet or in its regulatory reporting!!!. These securities have been purchased by the ECB through the repo agreements.
Thus, it appears as if this floating charge granted to the ECB is over assets that the ECB already owned. The floating charge was given to the ECB by AIB for emergency funding (emergency liquidity). Do you see a circular argument here? A potential Ponzi even???!!!! I warned my paying subscribers three years ago, Beware of the Potential Irish Ponzi Scheme!

For those who don't get it, AIB is essentially asset/equity broke. All properties considered as marketable/acceptable collateral (in other words anything of real, tangible value) jas already been pledged to the ECB. EVERYTHING!!! To the prudent depositor, this is all that needs to be said, but there's more, much more, Irish men and women, prepare to be CYPRUS'D!!!

Now, hopefully I've answered the question "Are you about to get Cyrpus'd in Ireland?" Many Irish pensioners have been "Cyprus'd" already, but fear not if you missed the opportunity to lose your capital for the sake of your banker's bonuses, there's a lot more to come.

If you believe that the information above actually identifies a gross misrepresentation of fact, omission or outright fraud, simply contact the SEC and let them know that Reggie Middleton suggested they look into it. You can actually use this form to convey my message

Remember, extreme wealth concentrates, so you don't have to... Coming from a "Cyprus'd" bank near you!


Subscribers, can download ALL documents supporting shenanigans by these banks (click here to subscribe):

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GreatUncle's picture

Can't see it happening ... but hey I am probably wrong.

Cyrpus was touted as being a one off. Any repitition would start to suggest this is to be the new normal. Would they be that stupid? After that cash in hand to purposefully avoid banks is curtains for the entire western banking system. On the grounds they are all interconnected so will share information to each other.

holgerdanske's picture

Cyprus was a one off, until the next, one off.
"Yes, they really are that stupid!@"
They are trying to get cash money out into the system, into stocks in particular. Sitting on cash, repaying debt and not circulating the money, lowers the velocity of money, and shrinks the base of the Ponzi pyramid. That is why the untold billions of newly printed money has not yet translated into inflation. Almost as quickly as they print it, it is removed from the system by people paying back loans and not taking up new ones.

Be smart, don't believe these thieving bastards. They make the rules and they don't care two shits about you. Buy some gold coins. That will stick a spanner in their machine. Gold is the only thing they cannot manipulate. Physical gold! not paper.
And let them stew in their own fat.

mvsjcl's picture

WE'RE ALL FRIXED!!!!!!!!!!

holgerdanske's picture

Either this is quite clever! or my rum and Coke has started affecting my Brian!
Or both! ;-)

OneTinSoldier66's picture

"Target2 is a European Union payment system. I believe it is misleading to indicate in the annual accounts that Target 2 has a bearing on the security that has been given."


I would say damn right, damn straight Reggie! What can I say, I'm a hard money advocate.

hardcleareye's picture

The more things change the more they stay the same...

from ‘The Irish Slave Trade - The Forgotten ‘White’ Slaves,’


"John Martin writes “The Irish slave trade began when James II sold 30,000 Irish prisoners as slaves to the New World. His Proclamation of 1625 required Irish political prisoners be sent overseas and sold to English settlers in the West Indies. By the mid 1600s, the Irish were the main slaves sold to Antigua and Montserrat. At that time, 70 percent of the total population of Montserrat were Irish slaves.”

“Ireland quickly became the biggest source of human livestock for English merchants. The majority of the early slaves to the New World were actually white.”

Martin writes how at the hands of the British, the Irish population plummeted due to the slave trade of the 17th century.

“During the 1650s, over 100,000 Irish children between the ages of 10 and 14 were taken from their parents and sold as slaves in the West Indies, Virginia and New England. In this decade, 52,000 Irish (mostly women and children) were sold to Barbados and Virginia. Another 30,000 Irish men and women were also transported and sold to the highest bidder. In 1656, [Oliver] Cromwell ordered that 2000 Irish children be taken to Jamaica and sold as slaves to English settlers.”

Martin goes on to explain that for some reason, the Irish slaves are often remembered as ‘indentured servants.’ However, in most cases during the 17th and 18th centuries, they were no more than “human cattle.”

“...the African slave trade was just beginning during this same period,” writes Martin. “It is well recorded that African slaves, not tainted with the stain of the hated Catholic theology and more expensive to purchase, were often treated far better than their Irish counterparts.”

During the late 1600s, writes Martin, African slaves were far more expensive than their Irish counterparts - Africans would sell for around 50 sterling while Irish were often no more than 5 sterling.

Further, the treatment of Irish slaves was thought to be more cruel than that of African slaves. If an Irish slave was beaten by their owner, it wasn’t considered to be a crime.

The Irish were further exploited when the British began to “breed” Irish women - or girls, sometimes as young as 12 - with African males."


SAT 800's picture

Cooking the Books; practically an institution in American Banking; it works until it doesn't. It's amazing to me they don't just say; okay, we made a mistake. Europe is not ready for/ doesn't need/ one currency with a half-assed management team; let's just call it quits. But nooo; have to keep playing make believe; maybe Tinkerbelle really can fly?

thewayitis's picture


  I wonder how many bodygaurds he moves around with? Does anyone know? 



WTFUD's picture

If you are going to screw people you require insurance ( more police, more nsa etc ).
Also we can understand fully Obamas revolving " in house " door policies on recruitment.

The_Small_Lebowski's picture

Starting to wonder how much skin Reggie has in this game? Reggie - be a good boy now ;)

Ourrulersknowbest's picture

Reggie might be balls deep in the game for all I care.i come to this site with open eyes.beware the bringer of gifts.
The infos good.thats all I am looking for

Ourrulersknowbest's picture

Reggie,I'm Irish and on zh...I get it.
Unfortunatly the overwhelming,and I mean overwhelming majority of Irish people refuse to remove head from asshole and look a nation we are fucked.when it happens the politicians and the population will weep and wail and b itch on radio phone in shows.every one will be shocked shocked could this have happened.blah blah blah.i am as prepared as a little camper can be,but I know shit is a comin.
Peace and respect to you.

Dingleberry's picture

Thanks for what you do Reg. You ain't always correct (like me!), but you are often quite prescient.

I always knew the Irish collectively lived a hard life. But watching an Irish dude on Keiser's latest show was eye opening. The Irish truly are a docile lot when it comes to economic strangulation.

They need to put down the Guiness.

Winston Smith 2009's picture

Yep, Irish, American, whatever, people are the same everywhere.  If it's more complex than 1+1=2 they don't pay attention until after the crash and then because they know nothing about crony economics or our fraudulent financial system, shysters can feed them any old BS about the cause of the crash and they'll buy it. When it finally comes down to stealing directly from their bank accounts in obvious ways rather than via the "stealth" theft from inflation and artificially low interest rates, amazingly, they even accept that without rioting in the streets.