If people are blaming pirate for their "bank" shutting down why did they continue to pay interest after he defaulted ?
Why are they only closing now and stating their money was in pirate when they have still been paying interest out?
Im going to go out on a limb here and say they have been paying out of new deposits from people who withdrew from pirate to find "safer" funds.
Blaming pirate for your shutdown only makes sense if you shutdown when he did not weeks later. If people sent deposits after pirate defaulted the odds are that it was used to pay out old depositors the interest due at least untill it all collapsed with the latest liquidity crunch.
Although I agree there may well be some opportunistic defaults going on, the mess created by pirate's closing will have had a trickle down effect that takes time to play out.
For example what if lender A is exposed to pirate, has loan repayments coming in, and enough in reserve to pay obligations for a month. He's going to keep paying interest while he can because he doesn't want to default and maybe he's of the opinion that pirate will still pay out, so he doesn't announce problems until his reserves are nearly wiped out.
Lender B on the other hand had no exposure to pirate, but he had a big deposit with lender A. So he wouldn't even know he was affected until lender A announced his problems, and tries to manage things until another week later when he realises his reserves aren't being topped up by loan repayment C anymore, who HAS decided to use pirate as a convenient excuse to stop paying out.
Once you add in lenders D, E, F, and loan repayers G, H, I, J, K etc. some of whom may well be scamming and saying they were exposed to pirate etc. then it becomes obvious it's not just a case of 'Pirate stopped paying today so I do too.'
