Europe is in deep financial trouble, and for most, this will mean hardship, austerity and financial ruin. There are some who see this out-of-control sovereign debt crisis as an opportunity to gain power and control. It appears that the Goldman Sachs bankers and alumni look to better themselves on the backs of EU taxpayers. Ellen Brown, from WebofDebt.com, has written wonderful piece on what she is calling a “bankers’ coup.” Please enjoy this well written and well sourced post.—Greg Hunter—
The European Stabilization Mechanism,
Or How the Goldman Vampire Squid Just Captured Europe
By Ellen Brown, Guest writer for USAWatchdog.com
The Goldman Sachs coup that failed in America has nearly succeeded in Europe—a permanent, irrevocable, unchallengeable bailout for the banks underwritten by the taxpayers.
In September 2008, Henry Paulson, former CEO of Goldman Sachs, managed to extort a $700 billion bank bailout from Congress. But to pull it off, he had to fall on his knees and threaten the collapse of the entire global financial system and the imposition of martial law; and the bailout was a one-time affair. Paulson’s plea for a permanent bailout fund—the Troubled Asset Relief Program or TARP—was opposed by Congress and ultimately rejected.
By December 2011, European Central Bank president Mario Draghi, former vice president of Goldman Sachs Europe, was able to approve a 500 billion Euro bailout for European banks without asking anyone’s permission. And in January 2012, a permanent rescue funding program called the European Stability Mechanism (ESM) was passed in the dead of night with barely even a mention in the press. The ESM imposes an open-ended debt on EU member governments, putting taxpayers on the hook for whatever the ESM’s Eurocrat overseers demand.