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Greek Pensioners To Fund Ukraine's Government: Syriza Will Tap Pension Funds To Pay IMF
Just yesterday we warned that, among the 'solutions' the Greek government was exploring in its scramble for cash to pay back The IMF loan, was 'borrowing' from the nation's pension funds. Today we get the sad confirmation that indeed Greece will raid cash reserves in pension funds and other public sector entities to cover its funding needs. As Reuters reports, Greece will use short-term repo transactions to transfer the cash, but one government official said they could not be used to repay the IMF. As the radical left-wing government takes from the implictly wealthier Greeks (pension funders), it is giving free electricity, a rent allowance, and food stamps to the poor.
As we warned yesterday, we are sure the Greek people will be enthused when they find out what the 'radical left' has in store for their funds... And as reuters reports, the raiding of Greek pension funds is now confirmed...
Greece is tapping into the cash reserves of pension funds and public sector entities through repo transactions as it scrambles to cover its funding needs this month, debt officials told Reuters on Tuesday.
Shut out of debt markets and with aid from lenders frozen, Athens is in danger of running out of cash in the coming weeks as it faces a 1.5 billion euro loan repayment to the International Monetary Fund this month.
The government has sought to calm fears and says it will be able to make the IMF payment and others, but not said how.
At least part of the state's cash needs for the month will be met by repo transactions in which pension funds and other state entities sitting on cash lend the money to the country's debt agency through a short-term repurchase agreement for up to 15 days, debt agency officials told Reuters.
However, one government official said they could not be used to repay the IMF unless Athens was able to repay the state entities the cash it borrowed from them.
* * *
Tomorrow brings a regularly scheduled six-month T-bill auction of 875 million euros to refinance a maturing issue, in a sale that will be closely watched.
* * *
But Syriza appears to be "Robin Hood"-ing, as Keep Talking Greece reports, the coalition government submitted a draft legislation to tackle the humanitarian crisis in Greece. The measures will benefit impoverished households unable to access to three basic goods: electricity, housing and food.
The draft contains measures among others for free electricity, rent- and food allowances. But also free access to health and public transportation means.
In particularly:
a) Free electricity for up to 300 KhW per household until the end of 2015. The measure refers to some 300,000 households and especially those already in the ‘social price policies program’ of PPC.
Fee-free reconnection of power to primary residence due to outstanding debts to the Public Power Company.
b) Rent-allowance of €70 – €220 per month for up to 30,000 households. The allowance will not be considered as ‘taxable income’ and will not be seized by the state for outstanding debts. However the allowance could be used to cover debt repayments to tax authorities and social insurance funds.
c) Food allowance for the supply of basic food and other items for 300,000 people. The allowance will be distributed through food stamps or some electronic means (‘smart card’ to be charged on weekly basis.)
The allowance-amount will vary depending on the number of the family members. The food and other basic good supplies will be provided by businesses and companies willing to participate in the program.
The government seeks to establish the food program in cooperation with the Greek Orthodox Church and the local municipalities.
Priority will be given to families with under-aged children, jobless and long-term unemployed, tenants under risk to be evicted and families who do not have access to these three basic goods: electricity, housing, food.
The criteria for the beneficiaries to participate in the program will be based on tax declarations and sources of income.
Main criteria is the “poverty line” which is considered “annual income of up to €5.023 per single household and up to €10,547 for a four-member family.”
According 2013-data of Greek Statistics Authority ELSTAT, 35.7% of Greeks live at risk of poverty and social isolation.
* * *
Greece remains second only to Ukraine for default risk....
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This acution will not be closely watched as there will nobody looking or bidding at this.
So the greeks are taking money from the IMF to pay for their pensions and public salaries, while they in turn take from their pension funds to repay the IMF who is in turn paying Greece more to pay for their public sector, as well as funding Ukraine who is in turn paying Russia for natural gas.
Need a fucking flow chart for all this tom foolery. Just collapse already, time to try something different.
In 4 months they'll have to default or they'll have a full blown revolution in their hands...
In four months there will be a TINA moment and nothing much will happen. More of the same kick the can will take place.
Come on: Renew on Carousel already.
https://www.youtube.com/watch?v=xSnLU9nyFSA
It's easy for Greece to weasel out of their IMF obligations: just lie that Putin is invading, and we need money for arms. Ooopsa, no payment to Ukraine.
With hard evidence to back those claims up I'm sure. Like satellite images of Russian tanks bulldozing over the national olive orchard. Indisputable.
The Russians do like to vacation in Greece, and their beach Speedos could be construed as crimes against humanity.
take it all, the sooner the better. Let the shitshow end already
In that shuffle money that was once in set aside accounts for pensions evaporates into the bankers accounts. Now the bankers have it and most likely have, or intend to have, the assets of Greece pledged to secure the loan given to Greece to replace (in a piece meal fashion) the pension money given to the bankers.
The bnkers get the pot of money, foreclose on the Greeks public assets later, the bankers loan in 4 month allotments for the pensions, pensioners cannot pay for mortgages or must sell dirt cheap to buy essential (become renters).
Greece is being taken right out from under the Greeks and Syria is their dirty tricks insider.
back in the old days...300 greeks were all that was needed to motivate a country against all odds...now we have 35.7% of a population of 11mn people with nothing much left to lose NOT standing up for anything...makes no fuckin sense.
Not knowing much about Greek Society, but I imagine that over the decades the peeps got suckered into the Entitlement Death Trap. Much like the UBSA and the Enlightened Europeans. It will not end well. But this too, will take decades to play out. Much quicker for Greece though. So sit back, watch Greece and you will see your future.
Oh, and prep well. There is plenty of time for that.
This is one of the most accurate and sincere comments
Just curious as to how exactly Syriza members plan to remain safely in Greece after hatching all this to the EU bankerz benefit?
railgun
Maybe Greece shouldn't have promised wealth transfers in the future that they knew they couldn't afford for votes today? Much like the bankrupt democrat run cities of the U.S. - Detroit anyone? Or, the U.S. itself. Given that the U.S. government future wealth transfer promises, every person in the U.S. owes somewhere in the range of $250,000 to the federal government to be used for wealth transfers.
You can be certain the elected officials in Detriot are still getting paid and have their health insurance and pension benefits fully funded. You will also note the bankrupt city of detriot has been abandoned by its working population and also is now being managed by the Michigan governers appointee.
The Takers are left with no control over the city and cerimonial positions while some adults are trying to wind down the unfulfilled promises. On the plus side you can buy a house there really cheap.
Why would anyone in their right mind buy a house there? Even if rates are negative, no real infrastructure, wild West without real law enforcement, Islamist (not just Dearborn) tendacies, rampant crime. Talk about sub-prime hell...
They can't wait to start a riot in Greece can they?
i'm sorry, you wont get your penion this month. we had to give your money to the IMF so the head oompa could go buy more orange shit for her face and wrinkled, disgusting body.
BURN!
Coming to a "developed" nation near you soon!
Already here. What do you think INTEREST is? Circular logic perpetual motion machine...just add paper and with a little confidence, POOF! aaand it's gone!
and its gone..
And yall wanted to know why they worked so hard to keep Greece in the "union"
Is everyones ante in the pot?
Syriza went from hero to zero in record time.
hero? they were villains all along.
I said from early on this 'huge worry over 'worst case scenarios' Syriza getting elected' with all the cold sweats and hand wringing and whatnot was completely fake.
The EU has become a large insane asylum. Of course the USA, in order not to be outdone, will now have to do something extremely stupid to stay in the game.
Something stupid like.... selling weapons to mexican drug lords to fight the mexican government and then using the cia to sell those illegal drugs in america? To top that off, having a ridiculous drug policy and highest non-violent prison population in history? Or like sending military aid to Ukrainian statist fuckheads to help fight statist russian fuckheads?
Or like electing Bush I / Clinton / Clinton / Bush II / Bush II / Obama / Obama / (Bush III or ClintonII) for the past 16 years?
I was going to list some more of the dumb shit this countries over lords have done, but it is not even worth it. Fuck the stupid cunt licking statist twats.
That's the old stupid stuff. I'm talking about something new that raises the bar on stupidity to a new level.
Robbing Peter (Mary, Kelly, Steve, Jimmy, John, Fred...) to pay Paul.
Nnnice. /sarc.
I pointed this out over the last few days, the fact that all EU member states were going to have to kick in money to fund the EU emergency bailout for Ukraine. I pointed out that this was insane. Now we have proof of that fact, do we not! People whose nation has been destroyed by EU policies and Greek government policies. Now the average Greek will fund American's Coup Government in Kiev. There is no dispute to the fact a coup was carried out. There is no dispute that those areas of Ukraine who did not support the American Coup in Kiev were invaded and attacked by a huge armed force.
Well, all you EU supporters. Please log on and explain this one for us. What obligation does a Greek taxpayer and bank account holder or pension saver have for Ukraine's American Government. It seems to me, that since the USA funded the Coup, they should fund the Coup Government.
Greeks, you silly twats! Had you exited the EU last week, you would NOT OWE UKRAINE anything. But no, you got talked into extend and pretend, now your retirements will be looted for the Kiev Oligharchs to steal and send to their foreign bank accounts. The EU in Brussels is screwing you!
Just think, if the CIA/West had not engineered the Coup, everybody would not be in this mess and thousands of men, women and children would be alive
The Ukraine coup? Just checking because the CIA/West aka Soros/State Department-sponsored Macedonian coup got sidetracked and is on the back burner for now. I can tell because thousands of Macedonian men, women and children have not died yet or have been forced into homelessness, misery and despair. Those are all hallmarks of a successful Western-backed coup.
So we have:
Ukraine: check
Macedonia: TBA
Turkey: coming attraction
Georgia, Bulgaria and Latvia: Hard to tell if they're pre- or post-Western-backed-coup or counter-coup already. Anyone know? I'm not on the State Department feed of the third-world nation kill list
For one, Soros was strongly peddling for a Euro bailout for Ukraine a few weeks ago, scrambling to save his investment/project (also travelled to Kiev to talk with Poroshenko).
(So probably it'd not only be the funding of the bloody coup by the USA/CIA/EU/NATO/etc, theoretical allies, but also a bailout for the billionaire troublemaker Soros.)
Jan 8, CNBC
Soros: Europe must bail out Ukraine to beat Putin
Jan 8, BBG
Soros Warns Europe Under Russian "Attack" as Ukraine Seeks Aid
http://www.zerohedge.com/news/2015-01-13/ukraine-president-poroshenko-me...
Sure, Soros would probably never mind if further funding for bombing ethnic Russians in Eastern Ukriane (so an ethnic cleansing in Europe) came from the looting of Greek pension funds.
This is the man whom our media is selling as the wise old philanthropist advisor in important matters. Corrupt lying fucks.
Had Greece tried to exit the EU last week, either:
a) the army of the Hellenic Republic would have overthrown and liquidated Syriza
or
b) failing that, NATO would have done it for them, probably flattening a substantial chunk of Athens in the process. Ask any Serb how much fun that was.
Nothing short of the Russian army marching into Kiev on its way to Frankfurt will give the Greek people much chance of leaving the Fourth Reich alive.
I'm one more absurdity from tearing off all my clothes and running into the woods screaming.
It might just be the mushrooms talking.
In the US, pension plans are required to invest at 40% of assets in investmnet grade bonds (leaves only a handful of corporate issues. thus requiring pension funds to buy a large allocation of US Treasury bonds. Thus the pension system is a huge financer of the US Govt. Social Security is required to lend all their assets to the US Govt.
Sure it is screwed up, but why should Greece be any different?
Borrowing from Peter to pay Paul so Paul can pay Peter. My gawd it works!
the illusion of value is an incredible thing
I'll gladly pay you Tuesday for a hamburger today.
Ah, pensions. Every banker's wet dream.
I don't care who you put into office. They are all the same, and they all suck banker cock.
The point is that they won't get close to getting on a ballot unless they've been approved by the Permanent Power elite.
The point is that they won't get close to getting on a ballot unless they've been approved by the Permanent Power elite.
This doesn't sound like a hastily improvised Ponzi scheme to me.
/s
You just don't understand high finance.
It's complicated, man.
It looks as though Greece has it's Manchurian Candidate just the USA recieved in O'bama....
They are ALL Manchurian Candidates now.
Pretty sure you could list every president since potentially Kennedy on that list. Very likely you could make a case for every single president of this country being someone with ulterior motives other than the peace and prosperity and liberty of the citizens.
I hate to say it, but if those pension funds are being held by banks in Euros, they're as good as gone anyway. Might as well throw 'em at Europe now, as payment, then wait for them to be 'bailed in'...
They need to get their Drachma back...and soon.
The Golden Shower party elected in 3...2...1...
So when do we get to the pillaging and sacking stage of homes and businesses? Two, maybe three months?
Soon they'll suggest kidnapping of wives and daughters to be sold to the IMF as sex slaves.
You can bet your bottom dollar that part of the House of Saud's price for holding down oil prices was a fresh supply of barely pubescent Russian girls unable to escape capture by the thugs of the Kiev junta---the sandniggers prefer blonde girls no older than twelve---to be used as playthings to wealthy Saudis, raped, tortured and finally murdered in any of a number of ways during horrifying sex games.
Cost of doing business with savages stuck in the seventh century.
That is true. Saw one of them myself in Riyadh.
WWIII IS ON THE FAST TRACT. No stopping it now.
I'm to old so it's not my fight unless it's in my neighborhood. Just saying.
This is similar to what the US has been contemplating. They have been considering requiring the public's "invest" a portion of their 401(k) funds in government debt instruments.
I'd feel a little better investing in a 'government surplus instrument' instead. I'd also like to invest in a Unicorn ETF.
well, they looted the mandatory withholdings, then encouraged privatized forms of savings, now they will loot that... all the while looting with inflation "poof"
"and it's gone"... back to work slave!, ops... back to the dole queue i mean, and good luck gringo
kim kardanian gots some kinda bootie :-)
Why don't they get the Orthodox Church to pay some taxes ?
http://www.reuters.com/article/2011/07/15/us-greece-church-idUSTRE76E38N...
Long Greek Liquor Stores and Titty Bars...
One must remember that Greece has a whack of gold in reserve. Oh wait.
Think of all the individuals making 5,024 Euros....
as taxable income.....
I do declare I've located the source of the problem here.
http://www.youtube.com/watch?v=l2pO6PFYnL4
Lol. So many couch revolutionaries here hailed them as heroes and saviours. They turned out to be a total fraud. And same will happen with another hero of yours - Putin. Billionaire oligarch saviour of zerohedgers..... Hahahaha
Cyprus was the template.
Hey Greeks, enjoy the bail in.
Stupid Goyim, "but at least we're still in the euro". Goyim are dumb as shit.
We are.
As predicted Greece is getting raped. First pensions, then national assets. After that it will be selling off of all national lands. And there are those that say the IFM does not know what they are doing. Greece will never be able to pay back even the interest on the debt. Only a f*cking retard doesn't understand the scheme. Create fake money, give it away at low interest until it is impossible to pay back then rape and pillage. After Greece will be Spain, Italy, Ireland, etc. Recently read that Spain is on the hook for 14% of the latest Greek bailout. What a f#cking joke. Do you really believe these bankers do not know what they are doing?
Is it still rape if you accepted payment for sex and then spent it on blow, without ever providing the service?
Greece appears to be opposing European communism to enjoy their own version.
Their own version of Communism/socialism is about spending OTHER people's money.
Yes, steel everyones pension to pay the bills of a banderist nazi government. Makes sense to me!
Yes, steel everyones pensions to pay the bills of a banderist nazi government. Makes sense to me!
Of course. There's never money for governments to keep their promises to the proles---much less debt relief.
But there's always plenty of money for wars against nations who flip the finger at Wall Street.
Priorities, you know.
I LOVE the irony here:
Most of the money in the "Greek" pension funds came from the EU in the form of bonds and loans that the Greeks obtained fraudulently starting immediately after they LIED their way into Germany's credit rating, and was then paid out by the Greek mafia, ie "government" to the HUGELY bloated government patronage system in salaries, bonuses, benefits, retirement, etc.
Therefore it is joyously appropriate that ALL of the pensions funds be used for whatever the original genuine owners of the loot want to use it for - VERY GOOD that it will be used to help repell the invading Russian vermin - FINALLY the thieving parasite Greeks are contributing !!!!!!!!
A model for profligate governments everywhere. Once their own bennies are at risk, this shit stops pronto.
Ergo: place all government pensions and bennies on the table whenever a government runs a deficit. Voila! No more deficits.
This is all getting to be a Monty Python sketch without the humore .. what the IMF and EU need is one helluva French taunting .. or Greek or whomever has the balls... https://www.youtube.com/watch?v=QTQfGd3G6dg You do not frighten me you English pig dogs.. go boil your bottoms you and your silly knnnnngets... I fart in your general direction .. your mother was a hamster and your father smells of elderberries...... time for cow throwing you silly .slavish southern Europeans...
So looting private pension funds to fund the State and reimburse IMF ?
How gentlemen !
Look like communist methods are still effective at stealing others people money.
The breadth and scope of the ongoing theft is on such a scale as to be nearly incomprehensible by the majority of "main streeters", aka, Joe the Plumber types the world over. They cannot be convinced that the economic model which props up their consumer oriented lives will soon be kicked out from under them.
That it is a coordinated effort by the seeming "haves" against the "have nots" is even less comprehensible by many more. That governments everywhere are simply tossing the futures of their own citizens away, only to protect the vested interests of a few, is unfathomable by the pensioner, the working man on the street, or those whose blind faith otherwise lay in government to look out for the best interests of a Nation and it's citizens.
Many intelligent people are totally clueless of what is going on the world over, and see all of these events as unrelated, or as isolated cases of bad luck on the part of whichever country gripped by insolvency is in the headlines each passing week. Many intuitively feel something is not right, but only a slight handful relative to all have even ever heard that there are two economic theories pitted one against the other, those of Keynes and Mises. The culpability of the Keynesians is beyond compare when one considers the sheer scale of the theft at all levels, individual, local, State, Federal, Internationally.
Few in the U.S. even acknowledge that we also aren't facing a liquidity problem but rather an insolvency crisis, the same as Greece. This country, too, will eventually be stripped of the remainder of its assets. What is currently happening in Greece cannot but help spread across Europe, Asia, and eventually the U.S., too.
I fear what the times ahead will be like when within this once great Republic, a now not only immoral but very much amoral population, finds itself in the throes of desperation due to loss of even life sustaining essentials.
I am not the "smart money", as I haven't much money. However, I am thankful to God everyday that I have been afforded the opportunity to prepare as best I can for what I believe lies ahead. I will continue to do so until whatever will happen, does.
Over the past few years, I have been doing all within my power to preserve the precious little wealth me and mine have already in life, have tried in every way to be diligent with regards to the safety and security of my family, and, at this point, can only wait and see what the future holds for us all.
I truly stand in awe of it all, watching quietly, as it unfolds. It is, simply, breathtaking in its entirety.
Wow