Cyprus Is Doomed: Greece to take over bank branches; Cyprus passes bills for EU bailout, issuing bonds using future gas revenues as collateral, impose capital controls,and looks to take up to 70% from bank accounts of wealthy!
March 23rd, 2013
By Kari Huus, Staff writer, NBC News
Lawmakers in Cyprus approved three bills late Friday aimed at securing a bailout for its troubled banks from the European Union and averting a financial meltdown.
The legislation includes one bill that allows the government to divide the wobbling lenders into good and bad banks — a law that would likely to be applied first to Cyprus Popular Bank. The goal is to restructure without hurting small depositors.
A second law puts in place restrictions on financial transactions in times of crisis and a third sets up a “solidarity fund.”
The country is expected to adopt more legislation in an effort to raise the 5.8 billion euros Cyprus needs to get an EU bailout.
They are saying that there will be controlled releases of money to prevent bank runs and a massive restructuring of the banking system.
Just listened to this latest report which states that part of the deal they’ve agreed to is, ‘a so called Solidarity fund, issuing bonds using future gas revenues as collateral.’