Have The Russians Already Quietly Withdrawn All Their Cash From Cyprus?

Submitted by Tyler Durden on 03/25/2013

Yesterday, we first reported on something very disturbing (at least to Cyprus’ citizens): despite the closed banks (which will mostly reopen tomorrow, while the two biggest soon to be liquidated banks Laiki and BoC will be shuttered until Thursday) and the capital controls, the local financial system has been leaking cash. Lots and lots of cash.

Alas, we did not have much granularity or details on who or where these illegal transfers were conducted with. Today, courtesy of a follow up by Reuters, we do.

The result, at least for Europe, is quite scary because let’s recall that the primary political purpose of destroying the Cyprus financial system was simply to punish and humiliate Russian billionaire oligarchs who held tens of billions in “unsecured” deposits with the island nation’s two biggest banks.

As it turns out, these same oligrachs may have used the one week hiatus period of total chaos in the banking system to transfer the bulk of the cash they had deposited with one of the two main Cypriot banks, in the process making the whole punitive point of collapsing the Cyprus financial system entirely moot.

From Reuters:

While ordinary Cypriots queued at ATM machines to withdraw a few hundred euros as credit card transactions stopped, other depositors used an array of techniques to access their money.

No one knows exactly how much money has left Cyprus’ banks, or where it has gone. The two banks at the centre of the crisis – Cyprus Popular Bank, also known as Laiki, and Bank of Cyprus – have units in London which remained open throughout the week and placed no limits on withdrawalsBank of Cyprus also owns 80 percent of Russia’s Uniastrum Bank, which put no restrictions on withdrawals in Russia. Russians were among Cypriot banks’ largest depositors.

So while one could not withdraw from Bank of Cyprus or Laiki, one could withdraw without limitations from subsidiary and OpCo banks, and other affiliates? (more…)

Cyprus: Savage Austerity Measures and Economic Dictatorship


By Jordan Shilton and Chris Marsden

Global Research, March 24, 2013

Cyprus’ fate illustrates how the European Union imposes the dictatorship of the global speculators, banks and corporations on the working class. The EU yesterday continued to demand massive austerity in Cyprus to raise €6 billion ($7.8 billion) in return for a €10 billion bank bailout.

The island country has been the centre of an escalating financial crisis, with its parliament voting Wednesday to reject proposals to raise the necessary funds by taking money from anyone with deposits in Cypriot banks.

A new vote on whether to impose a “haircut” on depositors was delayed until today. The EU and European Central Bank (ECB) dismissed proposals by Cypriot politicians—themselves wholly reactionary—to create a “solidarity fund” to raise the six billion demanded.

Cyprus’s aim was to preserve its financial relations with Russia and force workers to pay the price by nationalising pension funds to pay the debts of the super-rich. Other proposals included seeking contributions from the church and selling gold reserves—all in order to avoid levying a significant one-off levy on major depositors.

However, the EU bluntly dismissed these measures as insufficient. German Chancellor Angela Merkel declared baldly after a parliamentary meeting of the Christian Democratic Union (CDU), “We want Cyprus to remain in the euro zone”, but insisted that its “current business model is dead.”

The ECB has insisted that the levy on investors should be re-imposed—this time with a widely-anticipated penalty of 15 percent on depositors with balances over €100,000, as initially rejected by Nicosia. If not, it was made clear that proposals had been discussed to prepare for and limit the impact of a Cypriot exit from the euro zone. (more…)


lc--280In the morning hours of March 16,2013 the Eurogroup issued its infamous statement which could precipitate the dissolution of the eurozone and perhaps of the EU. It starts with words of welcome. ”The Eurogroup welcomes the political agreement reached with the Cypriot authorities on the cornerstones of the policy conditionality underlying a future macroeconomic adjustment programme…………” It continues wth difficult to understand words with double meaning until it gives the coup de grace. ”These measures include the introduction of an upfront one-off stability  levy applicable to resident and non-resident depositors……”  With this sentence the Eurogroup put an end to economic stability in the EU since for the first time in its history, the EU steals money belonging to bank depositors, under the guise of a so-called stability levy. A tax would be imposed on accounts under 100.000 euros and a heavier tax for accounts over 100.000.

Two days later, Cypriot Parliament voted against this decision. Not one member of Parliament voted in favour. The banks closed for more than a week, as depositors were able to get some money from ATM machines. The population, rightfully angry, demonstrated and protested against state robbery, while one angry depositor tried to break in his bank with a tractor. The President of the Eurogroup, simply took note of the decision of the Parliament while Merkel said that she would respect the decision. The decision of Parliament gave courage to the people of Greece, which were quite disappointed with the docile position taken by its Parliament which adopted with a great ease, measures that were even violating the Greek Constitution. (more…)

WΑKEUPCyprus: Η αλήθεια για τη μνημονιακή σύμβαση


Το WAKEUPCyprus αποτελεί μια συλλογική ιδιωτική πρωτοβουλία με έναν και μόνο σκοπό: την ΕΝΗΜΕΡΩΣΗ όλων των πολιτών της Κυπριακής Δημοκρατίας για ένα πολύ σημαντικό θέμα που θα αλλάξει για πάντα το συνολικό αλλά και ατομικό βιοτικό επίπεδο στην Κύπρο και μάλιστα για πολλές δεκαετίες. Κάνουμε έκκληση σε όλους τους συμπολίτες μας να βρουν ΑΜΕΣΑ χρόνο και να διαβάσουν τις επιστολές που έχουν σταλεί συστημένες στον Πρόεδρο της Κυπριακής Δημοκρατίας, σε όλους τους Υπουργούς και Βουλευτές αλλά και πολλούς άλλους κρατικούς αξιωματούχους και οργανωμένα σύνολα. Έχουμε σαν στόχο την αφύπνιση, ενημέρωση και κατανόηση για αυτό που ενδιαφέρει όλους: το μνημόνιο. Θεωρούμε ότι δεν υπάρχει η απαραίτητη ενημέρωση. Δεν διεκδικούμε το αλάθητο και συστήνουμε έντονα σε όλους να αφήσουν για λίγο τον κομματισμό και να ζητήσουν πειστικές απαντή-
σεις στα ερωτήματα περί μνημονίου και τρόικας. Δεν θα δεχτούμε ενδεχόμενη κομματικοποίηση του σκοπού μας με κανένα τρόπο. Ούτως η άλλως εμείς μεταξύ μας έχουμε διαφορετικές απόψεις για τις εκλογές και κατακρίνουμε όλους τους βασικούς υποψηφίους, αλλά και άλλους πολλούς, σε αυτή την ανάλυση, παρουσιάζοντας αδιάσειστα στοιχεία και λογική. Κανένας από τους βασικούς υποψηφίους δεν έχει τοποθετηθεί ξεκάθαρα και επί της ουσίας για το μνημόνιο και την δανειακή σύμβαση.

WakeUpCyprus_A4Booklet_Link final

Que signifie-t-il le ‘NON’ du Parlement Chypriote?

Le secrétaire général de l’EPAM, Mr. Kazakis, avait bien prévu l’écroulement des banques chypriotes.
La vidéo où il conseille dès le 10.12.2012 les dépositaires grecs de retirer leur argent des banques chypriotes tant en Grèce qu’en Chypre fait le tour de l’internet.

Selon l’annonce de l’EPAM la crise en Chypre fut magnifiquement bien orchestrée par l’ancien Président, Mr. Christofias et réalisée par l’actuel, Mr. Anastasiadis, avec la complicité de tous les membres du Parlement.

Il est impossible pour un système bancaire des plus puissants en Europe comme c’est le cas de Bank of Cyprus et de Laiki Bank de faire faillite du jour au lendemain. Ce sont les banquiers avec la complicité du personnel politique de Chypre et de Grèce qui ont littéralement pille les épargnes. Aujourd’hui ces épargnes-là se trouvent à l’ abri des off-shores, des caisses des partis politiques et autres sombres investissements.

Lorsqu’en 2012 les banques chypriotes ont recouru a l’E.L.A ( European Liquidity Assistance) afin d’éviter l’écroulement, les européens, notamment les allemands ont exigé des échanges, c’est à dire l’occupation coloniale de l’île à travers l’installation de la troïka. Le gouvernement Christofias afin de mettre à l’abri le pillage réalisé par les banques chypriotes, il a signé la vente de l’île à la troïka, sans même proclamer un referendum.

Les européens et surtout les allemands savaient très bien qu’un système bancaire avec comme dépôts 68 milliards d’euros, dont les 26 milliards d’euros provenant des foyers ne s’écroule pas si facilement, donc n’a pas besoin de financement. Sauf s’il s’agit de faux dépôts. C’est ainsi que les allemands ont saisi l’opportunité. Bien avant les élections en Chypre ont-ils exigé  5,8 milliards d’euros soit le 8% env. des fonds de l’ensemble des foyers et entreprises. Ce fut l’assassin financier Anastasiadis qui a mis en œuvre ce projet.

Le problème était que ces dépôts n’existent pas et que, par conséquent, il serait impossible de faire tirer les 5,8 milliards d’euros par les banques. Tout le monde le savait bien.

Le Vendredi 15 Mars Eurogroup annonce un ”haircut” des dépôts. Mais si les Allemands voulaient vraiment l’imposer, ils ne auront pas permis Anastasiadis l’annoncer, s’il n’avait pas préparé le terrain à travers des manœuvres politiques etc. Tout paradoxalement Anastasiadis annonce tout de suite le Samedi matin ‘haircut ou faillite’, sans avoir l’accord des autres partis politiques même pas l’accord de ses députés.

Pourquoi ? Pour causer l’écroulement financier de l’île.

Et pourquoi causer l’écroulement de l’économie de Chypre ?

Pour deux raisons :

1.Pour servir les intérêts allemands qui pour la première fois dans leur histoire mettent pied a cette région de la Méditerranée et ainsi saisir partie des ressources énergétiques de l’ile.

2.Pour servir l’oligarchie locale responsables pour le pillage de leurs banques.


C’est précisément cela que représente le ‘NON’ des partis politiques du Parlement Chypriote. Ils ont dit ‘NON’ à la révélation du complot des politiciens et des banquiers.

D’ailleurs tous les partis politiques ne parlent d’autre que d’où trouver ces 5,8 milliards d’euros. Ils oublient que l’annonce du Eurogroup exige plus que le ‘haircut’ ( plus de 800 millions d’euro de taxes supplémentaires, privatisation de tous les secteurs publics mais surtout la ‘mobilisation des fonds internes’ c’est-à-dire la saisie des caisses d’assurances sociales).

Quand aux Russes, eux s’entendront très bien avec les Européens et les Américains ; leurs capitaux seront sauves par des titres de crédit immédiatement transférables. De même pour le reste des autres capitaux qui au pire seront indemnisés par le ‘système-euro’.

Cyprus rejects bailout deal leaving eurozone facing fresh crisis

Cash-strapped nation expected to seek funding lifeline from Russia after dramatic no vote in country’s parliament

 in Nicosia and 
The GuardianTuesday 19 March 2013 21.09 GMT

Protesters outside Cypriot parliament

A Cypriot protester outside the country’s parliament after hearing news that MPs had rejected the bailout deal. Photograph: Filip Singer/EPA

The Cypriot parliament has thrown out a controversial plan to skim €5.8bn from savers’ bank accounts, in a move that risks plunging the eurozone into a fresh crisis and heightens expectations that the cash-strapped nation will seek a funding lifeline from Russia.

Cyprus has just 24 hours to find a solution to its funding gap before its banks are due to reopen following the dramatic no vote on Tuesday night, which failed to support a hastily renegotiated change to the original deal.

With the crisis escalating, an RAF flight carrying €1m (£850,000) in low denomination notes set off for Cyprus to provide cash for 3,000 British service personnel based on the Mediterranean island.

The banks have been shut since Friday and electronic transactions halted, although cash machines are still working and the Ministry of Defence said the euros were being flown in as “contingency measure”.

About 2,000 of the military staff, who typically serve out 18- to 24-month postings to the island, have their salaries paid into local accounts. The MoD said it was “approaching personnel to ask if they want their March, and future months’ salaries paid into UK bank accounts, rather than Cypriot accounts”.

Even before the no vote was announced, the euro had already slumped to its lowest level in four months after speculation that the Cypriot finance minister, Michalis Sarris, had resigned.

Sarris, who was in Moscow ahead of his meeting with his Russian counterpart on Wednesday, was forced to text-message Reuters to deny the quick-spreading rumours that he had quit.

There were also reports that the banking arm of the Russian energy company Gazprom might pump cash into Laiki, Cyprus’s second largest bank, which is in urgent need of a capital injection. Gazprom officials insisted this was not being planned. (more…)

Cyprus Banking Crisis for Dummies

Posted on March 18, 2013 by WashingtonsBlog

Bank Customer Trying to Get His Honey Out of His Bank During Cyprus Bank Holiday

Ground Zero of Financial Repression

You’ve heard that the tiny European country Cyprus is threatening to grab between 3 and 13% of bank depositors’ funds in return for a bailout of the country by the European Union.

Zero Hedge reports that Germany’s Finance Minister and the IMF originally demanded that 40% of bank deposits be looted.

Sajiyat Das notes:

Irrespective of the fate of Cyprus, the solution adopted will exacerbate the European debt crisis.

Many commentators note that the deposit grab may cause panic among bank depositors in Spain and other vulnerable countries as well. Indeed, many are asking whether this could be a modern Creditanstalt situation. Another common analogy is that this could be “worse than Lehman” failing.

On the other hand – given that the entire economy of Cyprus is smaller than that of Shreveport, Louisiana, and that Cyprus is mainly a parking spot for hot money from Russian oligarchs and mafia – some say that the whole crisis will quickly blow over.

What’s the bigger picture? Bank deposit grabs may spread to other vulnerable European countries. The New York Times reports:

Jeroen Dijsselbloem, the president of the group of euro area ministers, declined early Saturday to rule out taxes on depositors in countries beyond Cyprus.

And the chief economist of the German Commerzbank has called for private savings accounts in Italyto be similarly plundered:

A tax rate of 15 percent on financial assets would probably be enough to push the Italian government debt to below the critical level of 100 percent of gross domestic product.

Indeed, Zero Hedge has been warning about this kind of scenario for years.

Why are they doing it? (more…)