Cyprus Bank Depositors to be robbed by EU
Cyprus will impose a levy of 6.75 percent on deposits of less than 100,000 euros -- the ceiling for European Union account insurance -- and 9.9 percent above that.
This is an outrageous assault on property rights and the rule of law. This is not investment money, this is people's life savings that is just stolen literally over night by big government looters. This money was the equivilent of FDIC insured up to 100,000 euros and now it will just be taken. Isn't it funny how this all happens over a weekend when the banks are closed and people can't take their money out?
A lot of Russians buy second homes in Cyprus and put money in their banks. President Putin reportedly responded, "Better to put a German flag at the Presidential Palace. Don't you understand this decision will destroy your country? Who will trust banks on Tuesday?"
Somebody sticks a gun in your face and grabs the $100 in your wallet they are a criminal and they go to jail. Some unelected bureaucrats in suits conspire to take 7 to 10% of your money overnight and no crime occured?
The cynic in me also says that they waited to announce this. Why not do it after the stock market hits a record high and is up 10 days in a row. The mood is positive and can maybe absorb part of the blow.
The citizens of Cypress were protected until they weren't. People of other countries should take notice. Moral bankruptcy occurs before financial bankruptcy. Citizens of Greece, Spain, Italy and France you've been warned.