Private banking and fractional reserve

[barbarousrelic]

In the case of a bank run, bank executives should be held personally liable for funds owed to account holders who are unable to receive them. This debt should be non-dischargable in any bankruptcy.

[tomcollins]

In the case of a bank run, bank executives should be held personally liable for funds owed to account holders who are unable to receive them. This debt should be non-dischargable in any bankruptcy.

I would replace executives with owners.  The concept of a corporation to limit liability is one of the biggest frauds out there.  So many people get screwed by someone just walking away from their debt.

[em3rgentOrdr]

In the case of a bank run, bank executives should be held personally liable for funds owed to account holders who are unable to receive them. This debt should be non-dischargable in any bankruptcy.

Depending on how the contract is constructed, it is possible to avoid any liability.

"This FRB note can be redeemed for 20 ounces of gold, pending availability*."
*Our bank only holds %10 of all outdtanding notes as reserve in gold at any moment.

[barbarousrelic]

In the case of a bank run, bank executives should be held personally liable for funds owed to account holders who are unable to receive them. This debt should be non-dischargable in any bankruptcy.

Depending on how the contract is constructed, it is possible to avoid any liability.

"This FRB note can be redeemed for 20 ounces of gold, pending availability*."
*Our bank only holds %10 of all outdtanding notes as reserve in gold at any moment.

There is nothing wrong with a person lending money to the bank and owning debt, or depositing money in a bank account and owning money that can be withdrawn on demand. But it needs to be clear which the bank customer owns: money or debt, as they are very different things.