Spain Bailout Big Lie, How Can a Non-Existent Entity Bailout Spain Or Anyone Else?
By: Graham Summers
Jun 14, 2012
Spain’s Bailout is one big lie.
I know, I know… Spain is “saved” thanks to a €100 billion bailout.
But no one is asking just where this money will come from?
The IMF isn’t involved. Nor is the ECB.
The EFSF, which can’t even raise €10 billion without having to step in to insure it doesn’t have a failed bond auction isn’t a possibility (Germany doesn’t want it).
That leaves just the European Stability Mechanism (ESM)… except for the little known fact that only FOUR of the necessary 17 EU members have ratified legislation to even CREATE the ESM.
That’s right… the ESM doesn’t even EXIST yet.
On top of this, Spain and Italy make up 30% of the ESM’s supposed “funding.” That’s right, nearly one third of the mega-bailout fund’s capital will come from countries that are bankrupt themselves and are either already requesting bailouts (Spain) or soon will be (Italy).