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Nigel Farage: Cyprus rejection sets up a crash in markets
Date 20/03/2013 09:41  Author webmaster  Hits 2759  Language Global

KWN | UKIP Leader Nigel Farage told King World News, 19.03.2013, the Cyprus government would vote out of fear to save their own lives and that’s exactly what happened.  Farage said that what just happened in Cyprus is much bigger than the Icelandic revolt, and that it has now set up a crash in markets.  

Here is what Farage had to say in this extraorindary interview:  “Even my direst predictions about what the bureaucrats in Brussels would do to prop-up the failing eurozone crisis, even I didn’t predict they would resort to theft, and that is all you can call this.  It is theft.  It is the breach, of course, of their deposit guarantee they put in place in 2008.”

“And perhaps on a higher level it’s actually a breach of the basic principle of the rule of law, which is one of the governing functions of the whole of our Western civilization.  So it is a truly astonishing thing that they (central planners) have done.

Have they thought through the consequences of this?  Because if you do it once (steal from bank depositors) in one eurozone country, what’s to stop you from doing it again in another eurozone country?....

“We’ve got big countries like Spain and Italy where there are some very serious problems.  And I’ve got to tell you, if I was, as several hundred thousand Brits are, retired, living down in Spain to enjoy the sunshine and I had seen what has happened in Cyprus, I tell you what I would do, I would get my money out (of Spanish banks) pretty damn quickly.”

Eric King:  “Jim Sinclair described this as one of the most important events in history.  This theft you are talking about, Nigel, has people frightened.  They don’t know if their money is safe in banks anywhere.  What is going to prevent a government from stealing the money?  Does this have the potential to turn into an onslaught of unstoppable bank runs?”

Farage:  “I think as far as the eurozone is concerned, yes it does.  What assurance can Draghi, from the European Central Bank, Barroso, from the European Commission, Van Rompuy, the President of the European Council, what assurance can they now give anybody living in the eurozone that they won’t come after their money?

It’s like crossing a line isn’t it?  Once you’ve crossed the line and killed somebody, killing the next person becomes easier.  And they’ve crossed the line and stolen money from deposit holders and savers.  There is nothing to stop them from doing it again.  I actually think this is the worst mistake they have yet made in this eurozone crisis and I don’t see any way back.”

Eric King:  “It’s even more complicated than that, Nigel, because a lot of the KGB money is over in Cyprus.  It’s been there for a long time, a great deal of ex-KGB money that’s over there.  They’ve positioned their money there (in Cyprus).  That’s their Switzerland if you will.  So this became very complicated very quickly for the IMF and the people that pulled this stunt.”

Farage:  “Part of the thinking was to give the Russians a kicking ... But put yourself in the position of a Cypriot Member of Parliament, what do you do?  Do you vote on the one hand to destroy your banking industry, or on the other, to default on the European Union?”  

Eric King:  “The downside to them personally, Nigel, because people are frightened for their lives over there.  They are afraid of retaliation, and should be, from the ex-KGB agents and Russian leadership including Putin.”

Farage:  “That’s right.  And we’ve (already) seen some unpleasant Russian shootings and poisonings going on in London over the last couple of years ... So one does wonder, when it comes to this vote in the Cypriot Parliament, whether fear may be quite an important factor.”

Eric King:  “Nigel, it just hit the wire that the Cypriot government officials voted for the safety of themselves and their families, in fear of the Russians, and have turned this down.  Is this Iceland II?  What’s happening here?”

Farage:  “I think the implications of this are much bigger than Iceland ... This is much more serious than that because what you are facing here is a country being forced out of the euro.  And once one country goes, it will expose, through the Target 2 system, that Germany is owed vast sums of money by the central banks of the Mediterranean countries.

That is why, up until now, Merkel has been so desperate not to let Greece leave the euro.  Because she knew that if Greece left that it would bring the whole house of cards crashing down.

Now I know that Cyprus is small, and it’s only a country with about 800,000 people, but the Cypriot Parliament effectively said, ‘We are leaving the euro.’  There is a very real risk that this knocks-on, and brings about a crash, not just in the euro, but in several banks across the European Union.  So we are at a very, very critical juncture.”

Farage also added: “I cannot believe this (move to steal money) could have been thought through.  Frankly, if you would have asked me on Friday before the announcement, ‘What’s the worst thing you could possibly do that would trigger a run on the banks?’  Well, that’s what they did.”

Here is a small portion of what Farage had to say regarding the impact on the gold market: “Gold has to be a significantly good bet now that we’ve seen that governments are prepared to behave in a way that demolishes our trust in the entire banking system.  Yes, we could be ready for the next phase of the bull market in gold, and this could be the big one.”