Secular Investor, June 11, 2016
Foreword, June 13, 2016
On June 9th I wrote in my response to Boyd in the article
that “I am closely watching the EU big banks which are all bankrupt and can declare that fact anytime.” And it has already happened. While some sceptics can argue that the Belgium-based Optima Bank, which has just been shut down by both the National Bank of Belgium (which also acts as the Belgian regulating body) as well as the ECB, is an obscure bank, keep in mind that there are several dozens major EU banks that are in the same hopeless situation and are de facto bankrupt since 2008. It is only a matter of when they can no longer hide this fact and have to declare officially bankruptcy.
As the article below argues, Deutsche Bank will be the first prominent victim of the NIRP of the ECB as it also recently tried in vain to attract investors with fantastically high interest rates to cover up its illiquidity. This is an obvious fraud amidst zero interest rate policy of the central banks where all banks are losing money in all financial assets with the speed of light. The massive German critics at the highest level of the current helicopter money policy of ECB chef Draghi as of lately should be interpreted in this light. Most German banks are on the verge of collapse as DWN reports with respect to the big HSB Nordbank that belongs to the federal states Hamburg and Schleswig-Holstein. It has stopped paying dividends to its creditors and will assume paying its debt only after 2020. What an optimism – by 2020 this planet will not even exist in the Akasha chronics.
While everything seems calm for now, underneath the financial system is falling apart. There is not a single safe haven where one can deposit money and hope to survive the financial crash. With this in mind, the only viable solution is the run on gold and silver as ultima ratio but this only increases the default risk of the Comex stock exchange. Therefore it is not surprising that all big banksters now predict the collapse of the financial system and recommend gold and silver as last resort (and here):
At a time when the Brexit voters lead with shocking 19% in the latest poll, some experts predict that gold could advance to 900% as central banks go nuclear . This is what Brad has already announced in his latest financial overview. The noose around the neck of the banksters is getting tighter with each day and our forecasts acquire the power of certainty. This is not surprising when even the mouthpiece of the banksters’ guild Bill Gross admits that “Global yields are lowest in 500 years of recorded history. $10 trillion of negative rate bonds is a supernova that will explode any day.” He must know what he is talking about as his fund is most heavily invested in bonds.
Today I was talking to Carla and observed that the events leading to the ultimate collapse of the Orion matrix are much more advanced this year than in 1989 when the Iron curtain fell. This is the measure with which I gauge the current developments. At that time nobody had any clue that the Berlin wall and the Iron curtain would fall until the end of September of 1989 and now even before the summer has commenced all critical experts and an exponentially growing number of MSM outlets admit that the Empire of Evil and this civilisation are heading to an apocalyptic end. Even the most agnostic critical writers such as Paul Craig Roberts now join our club of total disillusionment about this mankind that can only be saved by a divine intervention – by the planetary ascension and our appearance as ascended masters and custodians of Gaia and her incarnated population:
“All of my life I have confronted the vast bulk of humanity living in a false reality created by self-serving powerful interest groups and the government that they control. People believe the lies that define their reality, because they lack the education and the emotional and intellectual strength to confront the obvious lies.
Every truth-teller confronts this barrier every day of his or her life. Every truth-teller wishes he/she could force red pills down the throat of the population. https://www.youtube.com/watch?v=zE7PKRjrid4
In American today there is nothing true that you can say that does not result in a heaving of abuse. The safe course is to repeat all the lies that come out of Washington and the presstitute media.
To go against the Matrix, you need all of the superpowers of The One.“
Sound familiar, doesn’t it? Read now carefully this article below on the first collapse of a major EU bank that will serve as a pattern of what will be a chain of bank bankruptcies in the days to come.
Interesting news this week as Belgium-based Optima Bank has been shut down by both the National Bank of Belgium (which also acts as the Belgian regulating body) as well as the ECB. According to the national supervisor, the bank would have been unable to meet its commitments to its clients and was forced to cease all banking activities after some potentially fraudulent transaction were unveiled.
It’s surprising to see the main media have tried to keep this silent as even the website of the National Bank of Belgium didn’t bother to issue the press release in English (whereas all other press releases on the home page can be read in English). There’s no statement from the ECB either, nor has this news been translated on the English version of website of the state-owned national television station.
The situation is so bad the regulator has already immediately tasked the special fund organizing the Deposit Guarantee Scheme to start paying out the clients of the bank, even though Optima Bank hasn’t filed a bankruptcy procedure just yet. The urgency of the need to pay the clients does indicate the situation is extremely bad and even though it’s a very small one (it had closed the savings accounts division last year), there are two more important things you need to keep in mind.
First of all, Optima was one of the banks which tried to attract new customers with sky-high interest rates. Suspiciously high, we might add. This reminded us of the Deutsche Bank promo in Belgium which also promised ultra-high interest rates on some of its products (as referenced on ZeroHedge here), as Optima clearly had a real need to see a cash inflow.
But secondly, and this is even more important, according to the official filings, the National Bank of Belgium had already effectively taken control of Optima Bank by appointing a ‘special commissioner’ to approve all transactions. Even though the NBB has only revoked the banking license just a few days ago, that special commissioner was already appointed in the first half of May.
That creates a completely new question. Are there other banks in the Eurozone which are under extremely strict supervision by the national (or supranational) regulators? If a Central Bank doesn’t even announce when a special commissioner is being appointed, how can the public be sure its deposits are safe? What else is going on in the Eurozone behind closed doors? Why did Banco Popular for instance need an emergency capital raise if it argued earlier it was strong enough to weather its real estate storm, sending the stock to a multi-decade low?
In fact, Banco Popular was one of the banks that had been definitively cleared by the European Central Bank in its 2014 study which was supposed to have a stricter overview of the entire sector. With one Belgian failing bank and a Spanish bank needing an emergency injection of 2.5B EUR, the credibility of the banking sector in the Eurozone has taken an additional hit, as Banco Popular still has one of the worst bad loan coverage ratios in the eurozone (the total amount of provisions accounts for less than 40% of the total value of the non-performing loans).
If you thought the crisis in the European banking sector was over, think again. Part 2 is just about to start.