My bank account's got robbed by European Commission. Over 700k is lost.

[cho]

Thx, very interesting.
So, technically speaking, bank of Cyprus is now in exclusive control of Laiki bank, and is now proceeding to its dismantlement (since it's his property) ?

[muyuu]

Thx, very interesting.
So, technically speaking, bank of Cyprus is now in exclusive control of Laiki bank, and is now proceeding to its dismantlement (since it's his property) ?

Sort of. Just its business inside of Cyprus, but I assume it's most.

[zeroday]

Central Bank could faces slew of lawsuits from depositors

LARGE depositors in Laiki Bank who face losing most if not all their money have warned they will take the Central Bank’s top brass to court if even one cent is taken out of their accounts.

The threat of legal action raises the spectre of the bailout programme unravelling in the courts, and slapping the state with massive sums in penalties.  

A lawyer representing a number of large depositors sent a letter to Central Bank Governor Panicos Demetriades last Thursday warning that if a haircut of any size was imposed on their deposits held at Laiki Bank, depositors will file a private criminal case against the governor, board members, and certain CB officials for allegedly committing “a number of criminal acts and omissions”.

[rpietila]

Deposits below €100,000 will be shifted from Laiki to the Bank of Cyprus to create a “good bank.” Deposits larger than €100,000, which are not guaranteed under EU law, will be frozen and used to resolve debts.

killerstorm, do you think this solution is fair? Is it OK when assets of successful people and businesses are seized to pay county's debt and cover "insured" accounts?

They took 700K from my account, killing my business, to repay their debts and fulfill insurance liabilities! I can't believe it is happening in Europe! It's more likely North Korean scenario!


BTW,

A company owned by in-laws of Cypriot President Nicos Anastasiades wired €21 million from Laiki Bank to London days before the Eurogroup’s crisis-triggering levy proposal, claims a Cypriot newspaper.

SOURCE

No, this is not fair. This is rotten. I feel sorry for you

[zeroday]

I've just found this comment on falkvinge.net and I think this is excellent explanation about what is now happening to Laiki Bank and why this situation is unfair and unconstitutional.

According to the “resolution measures” (the rules they just made up to give special treatment to some creditors – exactly what bankruptcy law was created to safeguard against), customers who borrowed money from Laiki Bank and have no significant deposits there will simply be moved to Bank of Cyprus without having to pay back the money before originally planned.

http://www.centralbank.gov.cy/nqcontent.cfm?a_id=12631

Remember that loans are assets on the balance sheet of a bank. This is how they make money. By making up an arbitrary rule that the assets are to be moved out of the bad bank, the losses to savers and businesses like this company will be significantly bigger than if Laiki Bank had gone through an ordinary bankruptcy.

[myrkul]

I've just found this comment on falkvinge.net and I think this is excellent explanation about what is now happening to Laiki Bank and why this situation is unfair and unconstitutional.

According to the “resolution measures” (the rules they just made up to give special treatment to some creditors – exactly what bankruptcy law was created to safeguard against), customers who borrowed money from Laiki Bank and have no significant deposits there will simply be moved to Bank of Cyprus without having to pay back the money before originally planned.

http://www.centralbank.gov.cy/nqcontent.cfm?a_id=12631

Remember that loans are assets on the balance sheet of a bank. This is how they make money. By making up an arbitrary rule that the assets are to be moved out of the bad bank, the losses to savers and businesses like this company will be significantly bigger than if Laiki Bank had gone through an ordinary bankruptcy.

Christ. It would be less blatant if they just took all the money out in wheelbarrows.

[rpietila]

Christ. It would be less blatant if they just took all the money out in wheelbarrows.

Reminds me of 1933 and FDR asking from a senator, what he thinks of the dollar devaluation from $20/oz to $35/oz:

"Why, that is just plain stealing, isn't it, mr. President?"

[wachtwoord]

Brilliant quote. Famous last words no doubt.

[Wekkel]

Brilliant quote. Famous last words no doubt.

Wright Patman dropped some gems too in his lengthy career and he made it far nevertheless. It always starts with one man (or a satoshi).

[iron77]

OP, would you mind sharing which country you are planning to move to, and what are it's basic pros over some other ones that you considered?

[zeroday]

OP, would you mind sharing which country you are planning to move to, and what are it's basic pros over some other ones that you considered?

We've already moved to Caribbean country, finished incorporation, opened a bank account and our business is now continuing to function.
I'm really happy to run business here as we are absolutely tax exempt. We have converted part of our bitcoins into dollars to replenish our circulating assets and fulfill our commitments to the customers.
Another good thing here is that we haven't experienced any difficulties with a local bank while receiving significant amount from MtGox. This money is also tax-free as it came from abroad.

Iron77, before we finish with legal action against Central Bank of Cyprus, I cannot disclose which country we moved in, because it probably may be used against us in court.

[iron77]

Happy to hear that there are still places like that in today's world . Wish you luck and stability and I'll be monitoring this thread in case someday you'll be able to reveal which place it is. Cheers

[malevolent]

Damn. I would fear for my safety if I were one of the politicians involved in this crap.

wow 1000th post

[rpietila]

Iron77, before we finish with legal action against Central Bank of Cyprus, I cannot disclose which country we moved in, because it probably may be used against us in court.

Umm... against you? Wtf have you done? I thought they were stealing...

[marcus_of_augustus]

Damn. I would fear for my safety if I were one of the politicians involved in this crap.

wow 1000th post

No shit ... the last time they tried this kind of crap heads start rolling, literally, and then inevitably some kind of trouble and wars soon after. It is like a generational clock and the dupes fall for it every time.

[zeroday]

Iron77, before we finish with legal action against Central Bank of Cyprus, I cannot disclose which country we moved in, because it probably may be used against us in court.

Umm... against you? Wtf have you done? I thought they were stealing...

We sue them but I'm skeptic about EU legal system. Defendants will probably try to pour a bucket of shit at us and use any dirty tricks to justify their actions. Who knows.


BTW, I often see comments on my topic, saying that everybody in Cyprus deserve this because we avoid taxes and “cheat the country”. I find such statements outrageous because I run my business in full compliance with law! If law gives me ability to minimize taxes, I do that as it is my right.

Treacherous politicians always do their best to justify their actions in the public eye. This time Merkel says “we are going to punish oligarch and tax evaders” and entire country is sacrificed to feed greedy EU Elite. Ironically, all the real oligarchs wired their money out of Cyprus a day before banks closed. In reality, only small business capitals or people’s life savings were taken to repay country’s debt. Mafiosos not affected.

[wachtwoord]

Mafiosos not affected.

So the solution to all our problems seems obvious \

Anyway, there also was a bank of Cyprus (or was it Laiki?) open in London on the day all banks were closed 'by mistake' (and there were a lot of withdrawals). Do they think anyone bought believed that excuse??

[gaston909]

"Legal" Crime.

It's so very very wrong.

I dont care if my bitcoins go to $1 each. From now on, I won't be storing my wages in banks.

[zeroday]

Laiki Bank branch in UK was functioning during "bank holidays" and most of rich clients flew to the London and cashed their deposits.
Most of Bank of Cyprus largest deposits were transferred out of country just a day before banks closure.

Read this interesting article about how politicians hide their money in offshore: Secret Files Expose Offshore’s Global Impact

[DGrandioseD]

I've just found this comment on falkvinge.net and I think this is excellent explanation about what is now happening to Laiki Bank and why this situation is unfair and unconstitutional.

According to the “resolution measures” (the rules they just made up to give special treatment to some creditors – exactly what bankruptcy law was created to safeguard against), customers who borrowed money from Laiki Bank and have no significant deposits there will simply be moved to Bank of Cyprus without having to pay back the money before originally planned.

http://www.centralbank.gov.cy/nqcontent.cfm?a_id=12631

Remember that loans are assets on the balance sheet of a bank. This is how they make money. By making up an arbitrary rule that the assets are to be moved out of the bad bank, the losses to savers and businesses like this company will be significantly bigger than if Laiki Bank had gone through an ordinary bankruptcy.

I don't get it. Which creditors are getting special treatment with this deal?