Reports Of Secret Drachma Plots Leave Tsipras Facing Fresh Crisis

Tyler Durden's picture

On Friday, we brought you the shocking story of the rebellion that never was in Greece. 

According to FT, Former Greek Energy Minister and maverick among mavericks Panayotis Lafazanis convened a "secret" meeting at the Oscar Hotel in Athens on July 14 at which he attempted to convince Syriza hardliners (including, in FT’s words, "supporters of the late Venezuelan president Hugo Chávez [and some] old-fashioned communists") to storm the Greek mint, seize the country’s currency reserves, and, if necessary, arrest central bank governor Yannis Stournaras. 


Obviously, the plan was never implemented, but if the story is even partly true it betrays the degree to which Greece teetered on the edge of social upheaval and even civil war in the days that followed PM Alexis Tsipras’ decision to concede to creditors’ demands and abandon not only Syriza’s election mandate but the very referendum outcome he had himself campaigned for just days prior. 

Now that Tsipras has succeeded in compelling Greek lawmakers to cede the country’s sovereignty to Brussels in exchange for the right to use the euro, tales of unrealized redenomination plots have come out of the woodwork so to speak, and now, in addition to the scheme described above and rumors that a return to the drachma was nearly financed by a loan from the Kremlin, we get a glimpse at yet another plan hatched behind the scenes, this time courtesy of a recorded conference call between Yanis Varoufakis and "members of international hedge funds."

Here’s the story from Kathimerini:

Former Finance Minister Yanis Varoufakis has claimed that he was authorized by Alexis Tsipras last December to look into a parallel payment system that would operate using wiretapped tax registration numbers (AFMs) and could eventually work as a parallel banking system, Kathimerini has learned.


In a teleconference call with members of international hedge funds that was allegedly coordinated by former British Chancellor of the Exchequer Norman Lamont, Varoufakis claimed to have been given the okay by Tsipras last December – a month before general elections that brought SYRIZA to power – to plan a payment system that could operate in euros but which could be changed into drachmas "overnight" if necessary, Kathimerini understands.


Varoufakis worked with a small team to prepare the plan, which would have required a staff of 1,000 to implement but did not get the final go-ahead from Tsipras to proceed, he said.


The call took place on July 16, more than a week after Varoufakis left his post as finance minister.


The plan would involve hijacking the AFMs of taxpayers and corporations by hacking into General Secretariat of Public Revenues website, Varoufakis told his interlocutors. This would allow the creation of a parallel system that could operate if banks were forced to close and which would allow payments to be made between third parties and the state and could eventually lead to the creation of a parallel banking system, he said.


As the general secretariat is a system that is monitored by Greece’s creditors and is therefore difficult to access, Varoufakis said he assigned a childhood friend of his, an information technology expert who became a professor at Columbia University, to hack into the system. A week after Varouakis took over the ministry, he said the friend telephoned him and said he had “control” of the hardware but not the software "which belongs to the troika." 


Apparently, Varoufakis planned to take control of the computers first, then hack into the ministry’s software, steal the code, and design the parallel payments system. Here are excerpts from the call, again from Kathimerini, quoting Varoufakis:

"The prime minister before he became PM, before we won the election in January, had given me the green light to come up with a Plan B. And I assembled a very able team, a small team as it had to be because that had to be kept completely under wraps for obvious reasons. And we had been working since the end of December or beginning of January on creating one.


"What we planned to do was the following. There is the website of the tax office like there is in Britain and everywhere else, where citizens, taxpayers go into the website they use their tax file number and they transfer through web banking monies from the bank account to their tax file number so as to make payments on VAT, income tax and so on and so forth.


“We were planning to create, surreptitiously, reserve accounts attached to every tax file number, without telling anyone, just to have this system in a function under wraps. And, at the touch of a button, to allow us to give PIN numbers to tax file number holders, to taxpayers. 


"That would have created a parallel banking system while the banks were shut as a result of the ECBs aggressive action to deny us some breathing space.


"This was very well developed and I think it would have made a very big difference because very soon we could have extended it, using apps on smartphones and it could become a functioning parallel system and of course this would be euro denominated but at the drop of a hat it could be converted to a new drachma.


"But let me tell you - and this is quite a fascinating story - what difficulties I faced. The General Secretary of Public Revenues within my ministry is controlled fully and directly by the troika. It was not under control of my ministry, of me as minister, it was controlled by Brussels. 


Ok, so problem number one: The general secretary of information systems on the other hand was controlled by me, as minister. I appointed a good friend of mine, a childhood friend of mine who had become professor of IT at Columbia University in the States and so on.  I put him in because I trusted him to develop this.



"At some point, a week or so after we moved into the ministry, he calls me up and says to me: 'You know what? I control the machines, I control the hardware but I do not control the software. The software belongs to the troika controlled General Secretary of Public Revenues. What do I do?'


"So we decided to hack into my ministry’s own software program in order to be able break it up to just copy just to copy the code of the tax systems website onto a large computer in his office so that he can work out how to design and implement this parallel payment system.


"And we were ready to get the green light from the PM when the banks closed in order to move into the General Secretariat of Public Revenues, which is not controlled by us but is controlled by Brussels, and to plug this laptop in and to energize the system.

In short, Varoufakis claims Tsipras had pre-approved the creation of secret accounts for every tax filer (which, knowing Greece, might have left Varoufakis short on accounts for quite a few citizens). Greeks would be made aware of the accounts' existence in the event the banking system ceased to function altogether, and Athens would effectively facilitate payments through the new system in defiance of the EMU. Clearly, this would not have been well received by Brussels - especially the bit about hacking their software - but ultimately, because the new system would be entirely controlled by Varoufakis' finance ministry, it could be converted to the drachma immediately. 

Kathimerini goes on the quote Varoufakis as saying that German FinMin Wolfgang Schaeuble intended to use Grexit as leverage to force France into supporting a system that ceded fiscal decision making to Brussels (which would of course mean giving Berlin more say over EMU countries' finances):

"Schaeuble has a plan. The way he described it to me is very simple. He believes that the eurozone is not sustainable as it is. He believes there has to be some fiscal transfers, some degree of political union. He believes that for that political union to work without federation, without the legitimacy that a properly elected federal parliament can render, can bestow upon an executive, it will have to be done in a very disciplinary way. And he said explicitly to me that a Grexit is going to equip him with sufficient bargaining, sufficient terrorising power in order to impose upon the French that which Paris has been resisting. And what is that? A degree of transfer of budget making powers from Paris to Brussels."

The new revelations raise serious concerns for Alexis Tsipras. The deep divisions within Syriza are by now well publicized, but reports of covert plans to establish parallel banking systems using tax filers' IDs and the idea that elements within the ruling party plotted to seize billions in currency reserves and take control of the central bank have left some lawmakers demanding answers. Here's Reuters:

The center-right New Democracy party and the centrist To Potami and the Socialist Pasok parties, which all backed Tsipras in parliamentary votes on the bailout this month, demanded a response to the reports.


"The revelations that are coming out raise a major political, economic and moral issue for the government which needs in-depth examination," it said in a statement.


"Is it true that a designated team in the finance ministry had undertaken work on a backup plan? Is it true they had planned to raid the national Mint and that they prepared for a parallel currency by hacking the tax registration numbers of the taxpayers?"


Tsipras thus finds himself in an extraordinarily difficult spot. Passing two sets of prior bailout actions through parliament cost him dearly on the political front as more than 30 Syriza MPs defected on both votes. This means he'll be forced to rely on the support of opposition lawmakers to govern going forward or at least until he can call for elections and get a "clean start" after the third troika program is formally in place.

If Syriza's political opponents come to believe that their efforts to back Tsipras on the way to keeping Greece in the euro are being subverted in secret by members of Tsipras' own party, their support could dry up quickly leaving the PM with no support from either side of the aisle. 

Given all of this, it's easy to see why many analysts and commentators still belive that Grexit - and everything that comes with it both for Greece and for the EMU - is still the most likely outcome.

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Future Jim's picture

Tylers, What happened to the article entitled: Initial Jobless Claims Drop To Lowest Since January 2008 As 366K People Fall Off Extended Claims?

The link to the article was I have never seen any ZeroHedge article disappear entirely before.

A synopsis still exists here, but its link doesn't work either:

Why? Can you restore it? Will you restore it? Thanks.

Two other links from 1/24/13 (but no other days I've checked) are missing also:

Publicus's picture

Greek revolution in 3.. 2.. 1..


Heads will roll.

BobPaulson's picture

Any sensible person would make contingency plans.

kliguy38's picture

tell that to 98% of Amerikans

Looney's picture

… and with THAT the Greek Dra(ch)ma continues ;-)


BaBaBouy's picture

Everything Proceeding According To Plan, The House Of SAUD Will "Buy" Greece...
The Mausks Will Rise...
EU Allows Callifrate Into Greece.
Tsirprakis Will Be Very Rich Man In Downtown London...

jefferson32's picture

This hacking story, "I control the hardware but not the software" is utter nonsense, perhaps believable by a few computer illiterates. Plus it's Varoufakis (i.e. the Americans) that want fiscal/economic integration in Europe, not the Germans.

This sounds like a post factum story invented in the context of a bigger "game theoretical" plot.


Son of Captain Nemo's picture

This hacking story, "I control the hardware but not the software" is utter nonsense, perhaps believable by a few computer illiterates.

Indeed Jeff.  Your observations both demonstrable and obvious!...

This story has no "legs" and with outlandish and tall tales likes this one that keep coming out of this mess the "heroes" it's looking like there are no doubts anymore that Syriza was a manufactured cover from Brussels.  The Greeks are getting fucked over just like they did in the 1968 coup from outside only this one is far, far worse.

Perhaps we should congratulate Georgy "boy" Soros for another "Mission Accomplished" and job well done?!!!

Soul Glow's picture

All that and all TSpras had to say was, "We're leaving the EU and the euro."  What a waste of time.  Someone give a bullet to the fiat debt/credit system already.

bigkahuna's picture

LOL - they need to grow some testacleez and JUST DO IT!

joe90's picture

Servers located in Greece, perhaps in Govt facilities, so you have access to the OS but software installed on them is all locked up, all you can do is start and stop it.  See what happens when you get rid of Telegraphic Transfer terminals.

detached.amusement's picture

This hacking story, "I control the hardware but not the software" is utter nonsense, perhaps believable by a few computer illiterates.


You sound like an establishment hack yourself.  What about that does not make sense to you?  If you knew the first thing about computers, you wouldnt have made that ignorant remark.  Access to the hardware platform in no way shape or form guarantees penetrability to the software platform.

jefferson32's picture

Ok, give me one example of a computing platform whose software cannot be tampered with if you have full unrestricted access to the hardware. It's not as if nobody tried. For DRM purposes only it would be a quite useful feat. Even Hardware Security Modules or TPM-equipped platforms are routinely patched. Or perhaps I'm wrong, and iPhones/Playstations cannot be jailbroken?

Haus-Targaryen's picture

But it didn't happen.  So this means nothing, save for political wrangeling in Greece, which at this point is meaningless -- absent a KKE or Golden Dawn government.  

Greece fucked themselves hard until 2018.  Nothing will change, as the violent Leftists are placated by a Leftist government. 

back to basics's picture

It didn't exist for it to happen. This is all bullshit aimed at political damage control and covering up their inpet ass that they never had a plan B. Never considered one, never had one.


The rest is history. 

Jaspergers's picture

+1 b2b, and btw Haus, KKE has made it clear that they are not interested in running the show (they are happy booing from the cheap seats).

yrad's picture

Holy shit. So, when does the movie come out!?!? And, who plays YV?!

logicalman's picture

Varoufakis always reminds me of Voldemort.

Maybe looks aren't that deceiving after all - at least, not always.

Can't quite figure out what his game really was, but he bailed before the final whistle.

old naughty's picture


He & T formed 2-1 punch. They had plan(s).

Besides, you believe they did not have help from behind the curtain?

RaceToTheBottom's picture

The Bit coin is part of a contingency analysis to use electronic transaactions as one response to the failing dollar.....

logicalman's picture

Likely not the best response.


Macon Richardson's picture

Why tell that to 98% of Americans? He was speaking of sensible persons.

J Jason Djfmam's picture

Sounds like double secret drachma probation.

Farqued Up's picture

I think that before Grexit occurs, NATO tanks will be on the steps of the famous Parliament building. The NWO will not backslide for such an insignificant number of lazy humans.

UNLESS, this is the new crisis that David Rockefeller is referring to in his famous statement that only one more crisis is needed to seal the deal.

It jumps off the page that their treasury official is controlled by the EU Troika and not the Greek govt. Hey FSA! Are you listening?

New World Chaos's picture

Next up, Golden Dawn.  It will be difficult (but not impossible) for the Troika to "negotiate" with them.  Long scopolamine manufacturers and cute little boys.

saints51's picture

Nice work Jim. Maybe the title changed, some backend of the website has an error, or you know the other possibility.

yrad's picture

Game Theory is way crazier than I thought.


logicalman's picture

It is.

Interesting that one of the greatest minds regarding game theory had a life-ending taxi ride just before all this happened.

Just because you are paranoid.........

Future Jim's picture

I suspect it is "the other possibility." I suspect it is more evidence of what looks like an effort to scrub any explanation of zero squads from the Internet.

I can no longer find my ZH comments explaining zero squads from around that time, and those posts from 1/24/13 were the only posts on which I commented that are missing from that period, so they must be the ones that contained my comments explaining zero squads. The link I used to explain the source of the concept of zero squads is also missing. It was a page in the online version of the book Out of The Ashes by Johnstone; whereas, the online version of the book no longer contains the pages I had linked to that explain what a zero squad actually is.

Well ... since someone is trying to send zero squads down the memory hole ... A zero squad is a cell of three members known only to each other, and each cell has a target to eliminate in a hostile foreign government should that government decide to attack. In the book, the US (and the world) had collapsed and a new and relatively free country had formed in the northwest and the equally new, and very hostile, government along the east coast, which claimed to be the US government, had just voted to attack the free country. Then, zero squads from the free country in the northwest killed the President an all legislators who had voted for the attack.

Given that there have been sniper kills at over 2,000 yards in Iraq and Afghanistan, one can see why the NWO elites have probably become apoplectic about zero squads.

saints51's picture

Keep doing what you are doing. I will bookmark your blog. And yes,k the other possibility is the likely answer as some members here would agree.

Dragon HAwk's picture

The Best number of people in a Cell is ONE...

SHRAGS's picture

Future Jim, there are a couple of web sites that enable you to preserve whole pages (inlcluding the comments section), but you must do it mannually. is the biggest, however it respects the robots.txt file (ie won't archive if the website indicates it shouldn't), however, archive.IS does not, and seems to take a much better snapshot, as both a text file, and an image file.  As a further precaution, I then use Evernote to capture the archived page itself.

Here is a snapshot of this page itself: on archive.IS.

The other nice thing that archive.IS allows you to do is download a .zip of the captured page itself for you to preserve offline on your own storage.

Remember, you must manually go to both & archive.IS and paste the URL of each page you wish to preserve every time, they won't necessarily crawl ZH.  You can then link the captured URL back in future posts.  There are ways to prevent comments disappearing down the memory hole.

Leri's picture

The Greek government should better use the time to properly prepare a grexit. The EU has become a farce in every aspect.

rejected's picture

The greeks sold their souls,,, so it is what it is.

Just as in the ufsa, and elsewhere,  nothing will provoke the masses to change things. The control is too complete.

Carpenter1's picture

Not over. Will  be the Black Swan when we least expect it

KnuckleDragger-X's picture

Greece has become a soap opera and I'm starting to wonder if they'll have any kind of a functioning government in six months. It would be interesting to watch Germany etal try to negotiate with a mob.....

Winston Churchill's picture

I thought the model was Cyprus, but its looking like the PTB are applying

the Libyan template to a European country.Financial carpet bombing this time.

Tsapiris better watch his asshole.Sodomized with a knife is no way to go.

Bay of Pigs's picture

He is a turncoat and traitor to his own people, much like most politicians these days.

WTFUD's picture

None of the EU countries have a functioning government ( maybe france aside ) and judging by Germany's indirect actions France Inc is the intention. Futile i think as Le Pen will be a shoe-in (my own preference ) as the french will not give up their independence to the fascists. Yes the EU is 100 times more extreme than Marine. PS. I am not French.

The Merovingian's picture

Desperate times call for desperate measures. But, this one just makes sense. You always need a Plan B ....or D in this instance.

Tribulation Blues's picture
Tribulation Blues (not verified) The Merovingian Jul 26, 2015 10:37 AM

Looks like time is up.... from prophet Glynda Linkous a few days ago...

Oh America, America, the nation once so bright for My Name, you have sealed your fate with your wicked ways, and the days left for you are numbered.

Then horrors shall fill your streets. The dead will outnumber the living, and the sounds of war will fill the ears of your people. As you have trampled over others, so shall your enemies now trample over you.

Your people shall rummage for food, where once it was abundant. They will thirst for pure water, because they have rejected Me, the living water. They shall cry for mercy but find none, as they have shown none to My people.

Prepare to meet your fate, America.You have been weighed, and found wanting. Your reign of power has come to its end.

More warnings at

Farqued Up's picture

I vote we have a hash-hish circle jerk on Patmos in honor of the late John the Divine. I'm really planning my life on and around some spaced out prophet, uh huh. Too bad C-4 didn't exist 2,000 years ago, Jesus could have made a truck bomb and sent the Temple Banksters into orbit. Problem nipped in the bud and solved. We are still reaping that crap today.

Debt-Is-Not-Money's picture

We need to follow His example, no?

Farqued Up's picture

I have no problem following the ideals of Jesus, I just reject that he was or is a deity. JD was a wild man on hallucinogens when he penned Revelations. That stuff is wilder than the Old Testament, Jehovah drowned everything and repopulated through incest, one bad mofo. He simply killed innocent people, still is, if anyone actually believes IT exists. I'm still at a loss if he killed cetaceans, too. ?

I don't think the other religions of Abraham, Judaism, Muslims, believe Jesus is a deity because they reject polytheism, then just be a pagan, the Sun and Moon make a lot of sense, energy, tidal cycles, etc. if God exists it has to be the universe, because the concept of NOTHING, does not exist and the idea that God has eyes, lungs, alimentary canal, etc. is fucking ludicrous.

Believe what anyone wants, I wish I could talk myself into it.

logicalman's picture

Given where all this shit was written, I doubt cetaceans were even a concept anyone had imagined.

God doesn't exist - men who wanted control over others invented him.


newsoutlet's picture
newsoutlet (not verified) Jul 26, 2015 10:40 AM
Russia's Gazprom Sees Gas Output Fall to Record Lows as Demand Slumps

Russian state-owned gas giant Gazprom faces a record drop in gas production amid a decline in domestic and export demand and growing competition from other Russian gas producers. Gazprom, which generates some 10 percent of Russia's economic output, is battling a slump in demand both from the key export markets of Ukraine and Europe and from consumers in Russia, which is mired in recession. Large planned exports to China will not come online until at least 2017. The company's output in June fell by 19 percent compared to the same month in 2014, to a record monthly low of 24.7 billion cubic meters (bcm), according to a report by analysts from Sberbank CIB, a Russian investment bank. In the first half of the year Gazprom's gas production dropped by 12.9 percent year-on-year, said the report, which was based on data from Gazprom and Russian monitoring agency CDU TEK. Exports by Gazprom, which has a monopoly on selling Russian pipeline gas abroad, declined by 8 percent in the first half of the year compared to the same period in 2014, according to Sberbank. This is partly due to European buyers delaying purchases of gas, said Yekaterina Rodina, an oil and gas analyst at Investment bank VTB capital. Gas prices move in parallel with oil prices, but with a lag of around nine months, meaning they will likely fall sharply later this year. Europe is also seeking to diversify away from Russian gas to other suppliers and renewable sources of energy, and Ukraine is fast reducing its dependence imports of Russian gas amid political tensions between the two countries. The share of direct Russian gas exports in Ukraine's consumption, which was 74 percent in 2014, declined to 37 percent in the first half of this year as Kiev switched to European suppliers, Sberbank's report said. Gazprom on July 1 suspended the delivery of gas to Ukraine after failing to agree on a price with Ukrainian state gas company Naftogaz in a dispute that has dragged on for 18 months. Lower exports will reduce Gazprom's revenues, which Sberbank said would come in this year at $105.8 billion, down 27 percent from $145.9 billion in 2014. But a weak ruble will offset the effect on profits, the bank said. Foreign sales account for two-thirds of Gazprom's revenue, said Valery Nesterov, oil and gas analyst at Sberbank CIB. The company sells around a half of its gas inside Russia, but domestic pricing is kept low by regulation. With domestic consumption of gas also falling as an economic recession curbs industrial activity, Sberbank said Gazprom's total production of gas in 2015 would not exceed 410-420 bcm — the lowest output in the company's 22-year history. In 2014 the company produced 443.9 bcm.


Turkmenistan says Russia's Gazprom has not paid for any gas this year


Turkmenistan, irked by falling natural gas exports to Russia, hit out at Moscow's gas export monopoly Gazprom on Wednesday, saying the energy giant had not paid for gas purchased from the Central Asian country so far this year.

"Since the beginning of 2015, OAO Gazprom has not paid for its debts to state concern Turkmengas for the shipped volumes of Turkmen natural gas," Turkmenistan's Oil and Gas Ministry said in a statement on its official website (

It did not say how much Gazprom owed Turkmenistan, nor did it say how much Turkmen gas had been shipped to Russia to date.


"Russian company Gazprom has become insolvent on its natural gas purchase-and-sale contracts due to the continued global economic crisis and economic sanctions imposed by Western nations on Russia," the ministry's statement said.



Russia military falling apart

Russian Defense Minister Sergei Shoigu has ordered an investigation into the shocking loss of seven military aircraft in crashes during routine training exercises since the beginning of June, news agency RIA Novosti reported Friday.

The crashes appear to show that an increase in Russian military activity connected to the crisis in Ukraine is straining the air force to breaking point.

“The accident rate for military aviation continues to be one of the most acute problems [facing the military],” Shoigu said in a meeting at the Defense Ministry on Friday, RIA Novosti reported.

“We need to thoroughly understand the causes of these accidents and to identify specific measures to improve the situation,” he added.

Over the past 18 months, Russian military aircraft have been flying at a much higher rate than in previous years, as the Kremlin seeks to demonstrate its military power by sending bombers and fighter aircraft to probe NATO defenses in Europe and North America.

NATO reported intercepting 400 Russian military aircraft near alliance airspace last year — a 50 percent increase from 2013. The heightened operational tempo is catching up with Russia's largely Soviet-built and aging fleet of bombers and fighters.

According to news agency TASS, Russia from 2010 to 2014 lost on average one aircraft every two months. But the past seven weeks have seen seven crashes across a spectrum of designs and classes, pointing to problems larger than flaws in a single aircraft design.

Since early June the air force has lost two Tu-95 “Bear” strategic bombers, two MiG-29 fighters, an older Su-24 strike jet, a newer Su-34 fighter-bomber, and most recently an Antonov An-12 military transport.

Engine problems appear to be a common theme. One of the Bear bombers careened off a runway when an engine burst into flames on takeoff, and according to one unidentified source quoted by RIA Novosti after the second Tu-95 crash in mid-July, all four engines on that aircraft died mid-flight.

The problems come despite rapid growth in Russian defense expenditure in recent years and a 20 trillion ruble ($350 billion) rearmament program begun in 2010.



China turns away from Russia


China's direct investments in Russia shrank by 25 percent in the first half of this year, even as its overall foreign investment increased, according to Chinese Ministry of Commerce figures cited by Russian media.

China invested $56 billion in the non-finance sectors of 147 countries and territories around the world in the first six months of this year, marking a 29.9 percent increase from the same period in 2014, Ministry of Commerce spokesman Shen Danyang said Tuesday in Beijing, Russia's Prime business news agency reported.

The greatest increase was reported in countries of the Association of Southeast Asian Nations, or ASEAN, where Chinese investment grew by 92.6 percent, Danyang was quoted as saying.

Investment in Hong Kong increased by 71.8 percent, and in the U.S. by 30 percent, he said, without specifying absolute figures.

But Chinese investment in Russia saw a 25 percent decline, Danyang said. Investment in Australia also dropped by 39.1 percent, Prime quoted him as saying.


P.S. Where are those putin regime pathetic puppies - stoogie and maxi? They should be here and make a bark when I call them! :D