Banks & Finance – Public Inquiry

Middle class revolution

By Anthony Sheridan

You’re talking absolute bullshit, journalist Larissa Nolan told economist Dan O’Brien on RTEs Brendan O’Connor Show.

The issue was housing and O’Brien was telling the nation that house prices and rents were declining and that people should stop catastrophising everything.

It’s astonishing that O’Brien, the chief economist with the Institute of International & European Affairs, is so ignorant of the extent and causes of the housing crisis.

Ms. Nolan also admitted that she didn’t fully understand the underlying reasons but during the discussion she uttered two words that come into common use when a political system becomes hopelessly corrupt – treason and revolution.

Government policy on housing is tantamount to treason

Why treason, O’Connor asked in surprise?

Her reply [paraphrased]:

Because the government has betrayed the people by ignoring their needs in favour of facilitating profit for private landlords.

She’s not the only person to hold this opinion. Here’s Dr. Rory Hearne, Assistant Professor of Social Policy at Maynooth University:

Rising rents is Government policy, and has been since 2011, in order to attract the vulture and real estate investor funds and raise property values to benefit banks.

Ms. Nolan outlined her personal position in stark terms:

I’m in the professions, I work 52 weeks of the year and I am nowhere near to being able to buy a one bedroom apartment for me and my son, and that is wrong. There will be a revolution on this soon if it isn’t fixed.

O’Brien, in a further demonstration of his ignorance, asked Ms. Nolan:

Why would any government who wants to win votes have a policy to make housing more expensive?

Nolan admitted she didn’t know but then, unwittingly, provided the answer:

They wanted the rents to go higher and it is now out of control and everybody’s being affected. It didn’t matter so much when it was a certain class being affected, that’s not my view but I notice that socially…and now that it’s moving up the ladder, it’s affecting middle class people with good wages.

As Ms. Nolan says, things have got out of control. The disease of corruption has debased the political system to such an extent that there is now only one policy – ensure that house prices and rents continue to soar in order to feed the greed of the rich few. That policy, long inflicted on the poor, is now beginning to destroy the wealth of the middle class.

All corrupt regimes exploit and abuse the powerless poor at the bottom of the pile principally by denying basic rights and inflicting oppressive taxes.

European aristocracies engaged in this despotism for centuries until an emerging merchant/middle class found it necessary to begin cutting off heads in order to gain power and respect.

Ms. Nolan describes herself as being ‘in the professions’. In other words, she [accurately] sees herself as middle class. And it is the middle class that invariably leads the people in destroying corrupt political regimes.

When the middle class begin to [correctly] describe government as treasonous and suggest revolution as a possibility then a bout of head rolling cannot be far away.

Copy to;

Larissa Nolan

Dan O’Brien

No law for the powerful, strict enforcement for decent citizens

By Anthony Sheridan

David Aminu committed a crime by defrauding the Department of Social Welfare of €136,000 in welfare payments. The crime came to light in 2015 when Mr. Aminu wrote to the Dept. admitting his crime and offered to repay the stolen funds. An immediate Garda investigation was launched as a result of the confession. Mr. Aminu was charged, found guilty and sentenced to two years in prison.

Mr. Aminu’s defence pleaded that he had confessed, was repaying the stolen funds and was unlikely to reoffend. It was also pointed out to the judge that if Mr. Aminu were sent to jail he would face automatic deportation on his release with serious consequences for his wife and family.

None of this cut any mustard with the judge. Accepting that Aminu was a good man, that there would be long-term consequences for him and his family if a jail term was imposed and that the only aggravating factor was the actual crime the judge nevertheless took a stern and very narrow view.

Aminu must suffer a term of imprisonment to punish him and deter others.

Although this is an extremely harsh judgement it is, nevertheless, the law and in all functional democracies the law must be upheld and equally applied.

Unfortunately, Ireland is not a functional democracy and, as a consequence, justice like that meted out to Mr. Aminu is strictly reserved for ordinary citizens.

Those with power and influence are seldom subject to the law and can do pretty much as they please.

Here are just some recent examples of how those with power and influence get away with serious criminality.

On the same day that Mr. Aminu’s case was reported the Central Bank revealed that banks were admitting to thousands of additional cases of criminally defrauding those on tracker mortgages. The number of victims of this criminality has now reached over 30,000. People have lost their homes, their savings and some, it is thought, their lives. The Central Bank knew what was going on and did nothing; it’s still, effectively, protecting the criminal bankers. There have been no arrests, no charges, no justice.

Senior civil servants are also protected by the state when they commit crimes, even when they openly admit guilt. Senior staff at the Office of Corporate Enforcement (the grandiose title always makes me laugh) responsible for the collapse of the Sean Fitzpatrick trial perverted the course of justice by deliberately destroying evidence and coaching witnesses. In functional democracies such crimes are taken very seriously. In Ireland there were no charges, no trial, the guilty were protected by the state.

For 20 years now there has been an avalanche of criminality spewing from the ranks of our police force, we have yet to see a police officer on trial. Just recently, the most senior police officer in the state decided that no charges would be brought against any member of his force who were found to have falsified up to a million breath tests. The police chief said he was not prepared to spend huge amounts of taxpayers’ money on the scandal, that the money would be better spent on ‘protecting the community’ – from ordinary criminals like Mr. Aminu presumably.

Predictably, there was no objection to this banana republic abuse of law enforcement from politicians or, indeed, judges.

And then, of course, there’s the criminal politicians who, over the decades, have been defrauding the state through false expenses claims and robbing citizens money by stealing food and drink in the Dail bar and restaurant. Irish citizens won’t even be allowed to pass election judgement on these criminal politicians because, incredibly, data laws protect their identities.

Just think about that, we live in a country where public representatives can openly rob citizen’s money and property with complete impunity and we’re not even allowed to know their names never mind throw them in jail.

For so long as our country is misgoverned and exploited by a corrupt ruling elite we will rarely witness a judge say that a banker, police officer, government official or politician should be jailed

I suspect that when Mr. Aminu sat down to write his letter of confession he was not aware that in Ireland there is no law for the rich and powerful and strict enforcement for ordinary decent citizens.

I also suspect that if he knew the truth he would have burned that letter.

Copy to:

Senator Craughwell (Independent)

I’m copying this article to Senator Craughwell in the hope it might help to inform him of the reality of corruption in Ireland. From a number of twitter conversations it is clear that the senator has little idea of how the disease of corruption is destroying the lives of countless thousands of Irish citizens.

Fitzpatrick decision: A Banana Republic decision

By Anthony Sheridan

If I was an establishment judge and wanted to make a questionable and disgraceful decision that would damage my country and its people I would announce my decision the day after a major international act of terrorism.

If I was an establishment politician responsible for setting up a law enforcement agency with a mandate to bring white-collar criminals to justice but who were also friends of my political class I would ensure that the agency was starved of funds, starved of effective legislation and led by compliant staff who were willing to operate under political instruction.

Sensational news: Government to prosecute tax evaders

By Anthony Sheridan

Sensational news from acting Enterprise Minister Richard Bruton in response to the Panama Papers scandal.

Cheats using offshore bank accounts to evade paying tax here will be vigorously prosecuted.

No mercy shown to those found to be evading paying tax here.

Obviously if there are offences of Irish law discovered in this, you can be absolutely sure they will be vigorously prosecuted.

So there you have it folks, straight from the horse’s mouth. Tax evaders are to face the full rigours of the law.

It’s an historic first for our tax haven/banana republic.

Ah no, I’m only joking. Bruton is a liar just like the rest of them. Nobody will be prosecuted…I mean, the very idea.

Denis O’Brien: Are the sharks moving in for the kill?

Cliff Taylor of the Irish Times writes an article with the headline:

The question is, why has Denis O’Brien sold Topaz now?

Taylor doesn’t actually give an answer so here’s my take on O’Brien’s decision to sell.

I’m no expert on the markets but I suspect Denis O’Brien is in trouble after his failure to successfully float his company Digicel.

While Denis is fabulously rich to ordinary folk like you and me, on the Stock Market he’s just another billionaire shark swimming around looking for a kill. But great danger lurks here; when a shark attempts but fails to make a kill the other sharks immediately sense weakness and move in to attack. Financial market sharks are a species that have a particular taste for cannibalism.

And really, ‘poor’ Denis has only himself to blame for his predicament. He must have thought he was dealing with bog standard extremely obedient Irish politicians when he presented his fellow market sharks with the following terms and conditions.

Despite the company running at a loss with massive debts of $6.5 billion Denis was intending to:

Retain 61% equity stake in the company and 94% control. Ordinary investors were being offered A shares but he held on to B shares with 10 times the voting rights of every A share.

He’d have the right to decide which directors were appointed to the board, and have control over decisions such as mergers and acquisitions, sale of assets, salaries, dividend payments, and the entire direction of the company.

I imagine, after recovering from fits of laughter, the market sharks quickly got down to the serious business of sharpening their best butcher knives.

So, I think ‘poor’ Denis’ decision to sell Topaz is a desperate attempt to get in some cash, to reduce his massive loans and liabilities before he’s torn to shreds by his fellow market sharks.

Nothing personal you understand, but I hope they get him first.

Tom Lyons: A journalist unlikely to ask the tough questions

Tom Lyons is the business editor of the Sunday Business Post so you would think he would know more than most about what goes on in our corrupt state.

But judging from the questions he asks in a recent article regarding the ongoing Siteserv scandal it seems that Mr. Lyons is, in common with most Irish journalists, almost totally ignorant of the political corruption that lies at the heart of our failed state.

The problem with journalists like Mr. Lyons is that they fly at a very comfortable height above the deep dark sewer of political corruption. They only see the surface, they have little interest in probing the depths to see what lies beneath. They see a flat, calm surface surrounded by beautiful trees and flowers. For these journalists all is well within the world of Irish politics and business.

Of course, from time to time a blob of pus surfaces giving off an obnoxious stench. On such occasions the journalists get all excited and head for their keyboards to analyse and speculate about the origin of the stench.

But because they have little knowledge of the rot beneath the surface they end up asking silly/naive questions similar to those asked by Mr. Lyons in his article.

Lyons, seemingly puzzled and angry that the Commission of Investigation into the the former Anglo Irish Bank is on the brink of collapse asks:

Did the Attorney General provide advice? If so, what advice? if not, why on earth not?

Can the commission legally carry out its job?

Did anyone ask that question? And if so, why did they get it so wrong?

Here’s the answer which I suspect will shock Mr. Lyons.

Ireland is an intrinsically corrupt state ruled by an elite group of people who enjoy the full support of all state agencies including the civil service and Gardai. There is a corrupt nexus between the political system and practically every state agency.

This corrupt nexus facilitates and protects the interests of the corrupt ruling elite at the expense of Ireland, its people and democracy.

Over the past several decades Irish citizens have witnessed, to their utter despair, an avalanche of corruption that has destroyed everything they value.

And yet there has been no accountability whatsoever and there never will be until the current corrupt political/administrative system is removed from power and influence.

And that is unlikely to happen without informed and objective journalism leading the way.

Instead of flittering about over the sewer of corruption journalists like Mr. Lyons should be asking tough, relevant questions such as:

Why is there so much white-collar crime/corruption in Ireland?

Why do white-collar criminals almost always get away with their crimes?

Why does the State resolutely refuse to act to stamp out white-collar crime?

Why is it that the media/journalists seldom, if ever, deal with political/business corruption as a subject in and of itself rather than just responding to the latest incident of corruption?

Why is there almost always a close link between white-collar crime and the political system?

Why is Ireland governed under a cloak of Soviet style secrecy?

Why are they so many legal bars to accountability?

Why is it that Ireland, despite decades of rampant corruption, has still to establish a powerful, independent and efficient anti-corruption agency similar to those in many other countries?

Judging by Mr. Lyons’ concluding point in his article it is unlikely that he will be the journalist asking such tough questions.

The collapse of Anglo Irish Bank cost the state billions, destroyed the wealth, hopes and ambitions forever of thousands of Irish citizens and almost certainly led to many deaths by suicide.

Yet Mr. Lyons can only find room in his article to express sympathy for the former management of the rotten bank.

The management that received lotto sized salaries, the management that can rest easy in the absolute certainity that, if they did any wrong, will find comfort and protection within our corrupt political/administrative system.

Copy to:
Tom Lyons

Drumm: Rueing the day he fled Ireland’s corrupt shores

Here’s a sentence that has never been uttered in Ireland.

Wearing ankle shackles and handcuffed behind his back, former Anglo Irish Bank chief executive David Drumm shuffled into a US court.

In Ireland, Drumm would have arrived at court in a limo after receiving a polite invitation from an apologetic policeman.

In Ireland, if Drumm was, by some miracle, found guilty it’s likely he would hear the same words from a judge as his criminal friends, McAteer and Whelan, heard when they were found guilty:

It would be “incredibly unjust” to impose a custodial sentence.

Indeed, Drumm, as he sits manacled in a US jail must be reflecting about the enormous mistake he made in fleeing a corrupt state where he would surely have been ‘looked after’ to a country where law enforcement is real and police and judges operate independently of the political system.

Nothing will change under new Central Bank governor

Irish Times columnist Cliff Taylor has a piece in today’s edition on what skills the next governor of the Central Bank will need to do his/her job.

Here’s the key point in the article:

Whoever gets the job, the public verdict – rightly or wrongly – will quickly form on whether Ireland is going back to the old days of a central bank “captured” by Government and the banks, or whether the institution’s independence is underpinned for the future.

Here’s the reality:

For decades there has been a corrupt nexus between the political system, the Central Bank and the banking sector. The principal function of this corrupt nexus is to allow bankers to rob and plunder the resources of the state and its citizens at will.

The Central Bank has never acted independently; it will not act independently under the new governor, no matter who gets the job.

All I can say is Permanent TSB my arse’

All I can say is Permanent TSB my arse’

This was the comment from shareholder Breeda O’Byrne at the Permanent TSB AGM today.

Another customer/victim of TSB, Sarah Hogan said:

Banking for life, we are with you every step of the way.

That’s what your website proclaims. And you most certainly are, Sir. You are bleeding us dry.

Ms. Hogan demanded immediate action surrounding the manner in which the bank was treating its customers/victims.

She has no hope. This is the reality.

There has been numerous such AGMs since 2008 and the script is always the same. Customers vent their anger, the bank managers waffle back insults, the government abandons the people and gives full, unqualified support to the bankers.

This AGM is no different.

The bankers will only stop robbing their customers when the politicians insists that they do so. The politicians will only act to stop the thievng bankers when enough people forcibly demand action.

Until then, the bankers and their political puppets will sit back and sneer at the ineffective/powerless ranting of desperate people.

Joan Burton’s new watchdog

The chief warden at the State’s watchdog compound was not happy to hear the news, so he rang Tanaiste Joan Burton to vent his anger.

Tanaiste; is it true, is the Government giving birth to yet another watchdog?

Now, now chief, calm down. It’s only a temporary measure; as soon as the election is over we’ll have the new arrival put to sleep.

But Tanaiste, we’re already overrun with watchdogs, they’re everywhere and, as you well know, none of them actually watch anything.

Yes, I’m aware of that chief but they do give the impression that there’s regulation and, as you well know, that’s all that matters to politicians.

What about the biggest, most expensive watchdog of them all, the Financial Regulator? Surely it’s his job to watch the banks, surely you should set him on the banks to make sure they treat those in mortgage difficulties with fairness?

Ah bless your innocence chief. This has nothing to do with fairness for ordinary people in trouble with their mortgages. No, this is about protecting the banks, to give them every opportunity to extract every last penny from the peasants.

But…but…Michael Noonan was here just the other day talking to the watchdog about the mortgage crisis and I heard the Taoiseach call on the banks to be nice to those people desperately looking for help.

Now chief, I’m beginning to lose patience with your naivety. My colleagues Michael and Enda weren’t actually demanding action, perish the thought. No, like myself, they were giving the impression of action, a completely different breed of animal, so to speak.

What about the cost Tanaiste? Every watchdog in this compound costs a fortune to maintain, a board, expenses, bonuses, the lot.

As I’ve already said chief, when the election is over we’ll quietly put this watchdog to sleep and continue with our policy of protecting the interests of the banks.

By the way chief, are you calling me on a smart phone?

Yes.

Tell me, where did you get the money for such an expensive item…?