Martin Armstrong Warns Europeans Of The Coming Expropriation Of 10% Of Everyone's Accounts

Tyler Durden's picture

As we have discussed in depth previously (2 years ago here as "muddle through has failed" and most recently here as the IMF discussed a "one-off" wealth tax), a confiscation (akin to Cyprus overnight debacle) is coming and Martin Armstrong believes sooner than most think.

Submitted by Martin Armstrong via Armstrong Economics,

Anyone who thinks it is a fantasy that government will simply just confiscate 10% of everyone’s accounts in Europe better have another look at the fool they see in the mirror staring back at them. This IMF solution is traditionally French and is really coming because the people in charge are effectively Marxists and this idea came from the IMF under the control of French ideology. They will expropriate these funds to save a banking system that they screwed up and will never reform anything because they are incapable of admitting any mistake.

These European government officials really are playing a dangerous game that is inviting total chaos, civil unrest, and may set themselves up for invasion. Instead of Napoleon invading Russia (1812.479), it may be the other way around when they smell weakness.

Lagarde Christine imf

Let me make this very clear. I have many French friends and they know the people in charge are just Marxists. Adam Smith wrote Wealth of Nations because he visited France to investigate Physiocracy that argued agriculture was the only real wealth. Karl Marx did not come up with Communism himself. He was more of a socialist. He did not advocate confiscating all property. It was the French movement of a commune at the time that convinced him their way was better. It was Engels who steered Marx into Communism. These ideas have emerged from France and this is why we have some of the most insane ideas still emerging from this country. There is a core philosophy among some that this socialism is correct.

The IMF proposal to expropriate everyone’s accounts in Europe will happen. The consequences could be absolutely the collapse in confidence that will be off the charts. Why should people trust government ever again or any bank for that matter?

Hollande-3

My advice to Europe – move as much as you can... - Hollande will come up with that one you can bet. He will weaken Europe and destroy the future of generations yet to come.

When they took the funds in Cyprus, the EU did not distinguish between European, American, or Russian accounts.

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Ostapuk Ivano's picture

Martin Armstrong is the man.

Divided States of America's picture

havent heard from him in a long time....is he still in a darkened slammer somewhere on a desolute island???

FieldingMellish's picture

He has been released. He is now a useful tool.

jaap's picture

Yes, from pro gold/silver in jail to anti as a free man.

0b1knob's picture

They will take 10%?

I think he's confused.   The 10% is the amount they will allow you to KEEP.

malikai's picture

They are Marxists?

Seriously, do you actually believe that Mr. Armstrong?

Soul Glow's picture

 

Here is the report, titled "Taxing Times", by the IMF.  The paragraph being referred to concerning "A One Off Capital Levy" is on page 49.

Taxing Times:

http://www.imf.org/external/pubs/ft/fm/2013/02/pdf/fm1302.pdf

 

BillyTheBlade's picture

Thank you for linking this.  The writing is on thw wall in their own words.  This combined with the FDIC/BOE white paper really makes their intentions clear to me. 

Soul Glow's picture

LaGarde is disgusting and what she is about to do will make almost everyone forget about Bernanke.  Almost everyone except us.

Luckily we have gold and silver and history is written by the victors.

SilverIsKing's picture

People argue about whether one is a Marxist, Fascist, Socialist, or Communist. Can we just group them all together and call them Fucksists or "Fuxists?"

"Fuxism" is a form of government whereby the masses get fucked by their government.

Motorhead's picture

And then there are those wankers on King World News who can only say buy gold and cry "conspiracy" whenever gold goes down.

Soul Glow's picture

You do understand that JPM trades options in excess of hundreds of millions of dollars per day?  And you do understand they can come out and leverage against gld and drop the paper price very easily, yes?  Do you understand how to trade?  Have you ever worked in finance? 

Occident Mortal's picture

For 90% of the worlds population their annual income is greater than their net worth.

As this table shows...

http://econintersect.com/wordpress/wp-content/uploads/2013/07/z-temp3.png

The median net worth of Americans is just $38,000. Typical Americans have high incomes and no assets.

Very few people understand that there are two kinds of rich people.

a). People with high incomes.
b). People with high assets.

The two are not the same. b's are much rarer than a's and b's are usually heirs.

SWRichmond's picture

Adam Smith wrote Wealth of Nations because he visited France to investigate Physiocracy that argued agriculture was the only real wealth. Karl Marx did not come up with Communism himself. He was more of a socialist. He did not advocate confiscating all property. It was the French movement of a commune at the time that convinced him their way was better. It was Engels who steered Marx into Communism. These ideas have emerged from France and this is why we have some of the most insane ideas still emerging from this country. There is a core philosophy among some that this socialism is correct.

And Simone DeBeauvoir, along with her concubine Sartre, was...French.

I rest my motherfucking case.

philipat's picture

Just, again, to point out the stunning hypocrisy involved. IMF staffers are exempt from tax on income and the raft of benefits that come with the position. So why should they worry about 75% top rates of income tax or other expropriations of wealth. Let them eat.....shit

PT's picture

... and expropriating 10% of people's "savings" will feed the beast for how long?  2 days?  Then the beast will be hungry again.

CheapBastard's picture

Donate to your local banker in 2014. Be Generous; open your heart. He needs a new Yacht and a BMW suv for the mistress.

Soul Glow's picture

Donate to Zero Hedge in 2014. Be Generous; open your heart.  Tyler needs to keep this party going....and also needs to take out his mistress Marla ;)

 

http://www.zerohedge.com/donate

TheReplacement's picture

Local bankers are not the problem, those that still exist.  Mostly they have been driven out of business by the big bankers who do actually own yachts but I doubt they stoop so low as to buy a beemer for toots.

nope-1004's picture

France.... lol.... the only ethnicity that considers stealing a relevant, full time job.

TerminalDebt's picture

If it's only France that would mean half of Nigerians are unemployed.

Oldwood's picture

When there is no income to tax, tax the wealth that remains. What about redistribution do people not understand? Ultimately it all belongs to those who printed it and is only currently on loan (with interest) till the interest returns become too low and they take it back.

Hobbleknee's picture

All governments practice Fuxism.

El Cuervo's picture

They are all grouped together. They're called collectivists. They usually begin from a rather benign tumor and grow into one of the "ists" you mentioned.

CheapBastard's picture

If you don't hold it, hide it and defend it, they will take it.

Freewheelin Franklin's picture

I believe the proper term is "Statist". 

margaris's picture

Bingo!

"Statism", the word none of us was taught in school,...

You are not allowed to know "the nature of the game"...

you are only allowed to be a stupid slave.

CH1's picture

Can we just group them all together and call them Fucksists or "Fuxists?"

We should probably just call them all "statists."

States are groups of men claiming the right to take everyone's money by force, to punish who they wish, and to order young people off to war.

So long as such groups exist, the slavery and death will continue, regardless of what names we apply to them.

discopimp's picture

Also don't forget Lagarde doesn't care as she pay NO income tax on her income for "working" for the IMF!

fockewulf190's picture

Merkle is never goiing to accept a one time wealth tax.  There is a huge problem in Germany called "alters armut" or "retired poor" which exists now as a result of wages being kept down for over a decade.  Many millions of full-time workers only earn between €1000-€1500 per month, and as a result, their contributions into their social security accounts will result in them only receiving a pension between €400-€500 per month.  Because of this, the government has been telling the workers for years to build up a secondary nest egg to supplement their retirement.  The vast majority of Germans shun the stock market because of being badly burned in the past, so many save their money at the local bank.  Any attempt to "Cyprus" money, especially when the cost of living is already sky-high, will not fly for a second.  The theft, therefore, will have to be more suttle, and the most common way to do that is an increase in sales taxes, capital gains taxes and higher taxes on estates. 

CH1's picture

Hope you're right, but the last time the German people rebelled against a state was?

RSDallas's picture

I would suggest that the EU will create a false flag (this will probably occur when China collapses) for the entire region and claim that there is no other solution other than total destruction of the entire EU.  Then on to the good old USA.

akak's picture

No problem --- "Arbeit macht (debt) frei".

slvrizgold's picture

There's an even more subtle way my friend, it's called monetary inflation!   The deflationists will eat crow because even though velocity is slow (for now anyway) and credit is being withheld and destroyed, the new money will always "leak out" and look for a home.   Right now that is equities.   Going to bonds will be like jumping from the frying pan into the fire.  Being in cash may seem good until you look back an notice everything fawking costs 50% more than it did a few years ago.   Not to mention the "bail-in" risk as outlined in the IMF memos.  Much better to just load up on gold and silver near or even below their production costs.   It doesn't get much cheaper than that.   People need to understand that back when gold was $300-500 in the 80s and 90s they could mine it for a small profit.  Today, not even possible for most mines at $1000.   The deflationists are operating on a false assumption that we are still on a gold standard, and we can "get something for nothing" (steady stream of real goods in exchange for perpetual scrip.)   Some people believe there really is such a thing as a free lunch.  Wealth is only made from making things or growing things or otherwise providing things that people want in exchange for something of value.   Well, that's the problem.  The last part of the sentence.  

Prices are going to rise for consumers.  The inflation is going to reduce disposable income for the majority of economic participants.  Merchants will have to raise prices just to make up for the lost sales.  The US dollar won't be collapsing against the Euro or Yen or most of the other currencies necessarily, but rather all of them slipping away a little each month and year.   Enjoy!   When no one wants to loan money to deadbeat govts anymore the only way they can maintain their "standard of living" is to PRINT and PRINT SOME MORE.   Anybody wanna buy this here 10 Y T?  It yields a whopping 3%.  That's not going to keep up with your 22% hike in insurance premiums and the higher deductible is not going to help either.  

But there is no inflation anywhere.   Nothing to see here.  Move along.   Do not buy stacks of precious metals.  Especially not silver for a ridiculous $20.   Remain calm.   Keep your $250,000 maximum in FDIC and cross your fingers there won't be a bail in...  This year...  LOL   (sarc off)

tradewithdave's picture

Technically, it's referred to as "the Britney Spears one-time tax " .... oops I did it again.

SeanJKerrigan's picture

Calling these elites Marxists goes against everything I understand about how power, money, and the banks intertwine. It seems apparent to me these elites at the IMF and elsewhere are pragmatists working in support of what they percieve to be their own interest. The author really needs to define what it means to be a Marxist if he is going to use the term - not simply assume we agree with such broad statements.

MachoMan's picture

pragmatists working in support of what they percieve to be their own interest.

This is all that exists...  it's a vestige of our evolution...  we try and create all of these isms to describe how self interest plays out in the aggregate, but they're never accurate in the moment (late diagnosis) and they're ultimately meaningless because they presume that the regulatory structure is what controls human action.  If you're busy chasing an incorrect label of the economy (and conditioned to dislike certain labels), then you're probably missing the individuals pulling the strings...

Central Bankster's picture

I cannot go as far as to say I am a believer in his work (the jury is out in my opinion), but he does do an excellent job of explaining his thinking and linking it to historical contexts.  So, if you read one article and determine that he doesn't explain what he means by "marxism" it really falls upon you to read his other material for context.  So I must disagree with your comment because it seems like you've jumped to some unfair conclusions.

Lore's picture

FABIAN Socialism is essentially organized crime rationalized on a grand scale as being "for the good of all." 

"Instead of revolution, the Fabians favoured "gradualism" as the way to bring about socialism. Their notion of socialism...entailed social control of property through an effectively and impartially [hahahahaha] administered state—a government of enlightened experts." 

Broadly speaking, this the same arcane bunch of elitist snake oil salesmen that cooked up Green Agenda 21 and has been pushing for Carbon Tax (enviro-protectionism).  "Global Warming" is environmental Al Qaeda, instrumental for pushing through Fabian Socialist Globalist policy "To Save The [Their] World."

Basically, they're crooks who think big and tell big lies.

Chupacabra-322's picture

The moment The American People stop CONSENTING / Contracting with the Criminal Fraud that is THE UNITED STATES, CORP. The sooner we can begin to defund the Criminal Entities of the Alphabet soup agencies.

Stop funding your own Debt Bondage & Enslavlement.

Pack a Gun & Pay NO TAX. Peaceful Non-Compliance,Non-Participation.

Soul Glow's picture

We can see the trend reversing in stocks and gold now.

zaphod's picture

No it will be 10%.

The big problem is just as with QE1, it will not be 1 time 10% grab. It will become a regular event leading to 10% every year.

Taking any percentage does not fix the underlying structural problems, and in fact makes it worse because nothing has to change. When the confiscations become regular that is when the real SHTF.

BTW, they can not take 10% of my PMs or Bitcoins. The real value of both will rise quite a bit when this starts.

SeanJKerrigan's picture

Regular confiscation will only work well with a fully digital currency -- and despite Larry Summers best wishes, they still have a few years to go on implementing this. Count your blessings while you have them I suppose.

As for Bitcoins and PMs, they're an option, but careful about putting all your eggs in one basket. Caution should be the word of the decade.

SeanJKerrigan's picture

You can also expect the price of Gold and Silver to get hit in a planned way should they decide to begin seizing assets Cyprus style.

Stuck on Zero's picture

Yep.  There will be an official gold price and there will be the black market price.  Everyone will be come a criminal.

 

Soul Glow's picture

Gold will be used to measure all currencies when the dollar fails.  People have the power, not the governments.

layman_please's picture

"You can also expect the price of Gold and Silver to get hit in a planned way should they decide to begin seizing assets Cyprus style."

there will be coordinated effort, no doubt, just like after bail-ins in cyprus there were following news: "The International Monetary Fund and the European Commission stipulated that Cyprus should sell its gold reserves at the time of the bailout." ... There was much unfounded speculation that news of the potential sale helped drive the biggest fall in gold prices ever last April. However Cypriot gold reserves are minuscule at just 13.9 tonnes."

http://www.zerohedge.com/contributed/2013-07-17/cyprus-resists-international-pressure-sell-gold-reserves

can the theft be even more blatant? talk about adding insult to the injury