GREECE: GOVERNMENT ‘PRINTING DRACHMAS’

Bild in Germany this morning leads with the “news” that there will be a putsch today in Greece led by Nia Demokratia. On closer examination it merely has an ND bag of wind saying the Samaras-led Party will raise Parliament’s awareness of the “cowardice” of the proposed referendum “and get it scuppered”. It’s a little vague on the “how” bit, but probably Freddie Starr will be involved somewhere: perhaps he’ll eat Alexis Tsipras’s hamster.

More seriously, an anti-EU but still badly-briefed piece appeared in the UK’s Sunday Telegraph saying that the Syriza leader now wins either way….either the credtors blink and retreat, or Syriza gets an electoral approval of his rejection of the Troika2 terms.

http://www.telegraph.co.uk/news/worldnews/europe/greece/11703745/Theres-method-in-Greeces-madness-it-could-pay-off.html

One thing it is right about, however, is that Greece will start to default on Tuesday, and be in a kind of limbo for four days prior to the vote next Sunday. July 5th is the day after American independence day, and the significance of that goes beyond ironic: Wall Street would normally go into Holidays mode from Thursday lunchtime onwards.

None of the British Sunday papers featured the Greek development on the front page.

The ECB et al gleefully announced that both the €15bn of ELA and other half-promised monies would now not be available. “We will pull the plug by Thursday latest,” said one source.

The limbo expectation was reflected by all-night queues at the ATMs in Athens, as locals tried to ensure they have enough cash once the banks close….probably Monday afternoon. The Slog picked up allegations from both Ireland and Athens over the last few days that Syriza has been printing Drachma bills in the Emerald Isle for some time…with the shortfall being taken on by a firm in Switzerland. One wonders what currency the printers want to be paid in.

Greece bids to restore its democracy. Nothing to see here, move along now…

69 thoughts on “GREECE: GOVERNMENT ‘PRINTING DRACHMAS’

  1. Paul Craig Roberts reckons that Greek debts have been sold off for pennies on the dollar by German & Dutch banks to hedge funds et al.

    So let me see if I get this: fraudulent loans were created to improve the balance sheets of unhealthy foreign banks conjured out of thin air with fiat money, with the complicit Greek financiers & politicians no doubt on a nice little earner, & the oblivious Greek populace signed up to pay back both principal & interest on this airy fairy money.

    So now we see “too big to fail” banks absolved of their debts, which are further loaded onto the backs of small taxpayers, & their children, while imposing “austerity” measures which have slaughtered Greek GDP (25%?) to the extent that the debts, odious to start, are now mathematically impossible to repay.

    Despite this we see the Greeks’ “partner” “nations” in Europe lining up to demand repayment in full.
    Germany, surprise surprise is at the forefront. They have dispensed with tanks, now they send in the Banksters & newspapers.
    Can they not see their own turn coming down the tracks?
    NATO countries are hurting their own GDPs imposing sanctions on Russia, at Washington’s command, while US trade with Russia grows.

    US will fight Russia down to the last Euro & the last European, & our politicians will allow it, it seems. It’s madness.

    Yesterday I had three comments wiped from a site which makes sense. It’s bloody unsettling & bloody annoying.
    My remarks dealt with Banksters, Global Warming & depopulation. All three were disappeared when I completed the third.

    Three separate Trolls, on three different sites, have recently said I belong in a mental institution. Straight out of Stalin’s manual.
    It burns me to have my time wasted, so I’ll comment far less in future.

    Slog on, John & everyone, with my best wishes to all non-violent extremists.
    Long may you be able to remain so.
    John Doran.

    Like

  2. What currency will they get paid in? Easy. Take a leaf out of Idi Amin’s book. De la Rue were printing the Ugandan shilling. They presented them to the distinguished President and asked to be paid. ‘Run a few off for yourself’ was his wise response!

    Like

  3. The way this has been played throughout the whole Greek tragedy should be a WAKE UP CALL TO THE UK POPULATION for when the referendum if it ever actually happens occurs and a single point.

    Rule one! No single currency EVER! Seeing as this is in the YES component of the referendum the NO vote has to be the only reasonable choice. All the Cameron deception, smoke and mirrors on returning powers / rightd from Europe is worth sweet FA if you are sworn into the EZ. This is one of the few economic tools a central bank has and there are only 4 in blunt terms.

    1. CTRL-P and liquidity inject the economy – FRAUD.
    2. Pretend that something is worth more than it is in real terms shoring up balances – FRAUD.
    3. Create fake petend paper items to when all the rest are maxed out – FRAUD.
    4. Go to war because it is easy to distract sheep – TO HIDE 1,2 & 3.

    Without real growth 2. kind of fails and them playing the game for so long now hard to create worthless s$%t as in 3. leaves my expectation for the future —>>> 4. and the risk increases dramatically if we give up 1.

    Now if the BOE ever do a helicopter drop of pounds (it is not going to be euros) to keep papering over the economic cracks it will go like this. Hand citizen a cool million quid, pay direct into an RBS bank account on the day of the bank bailin to shore up balance sheets and you never get it. The central bank will then tell you owe him this kewl million quid with interest stacking you could never afford to pay.

    On that last point I currently think ECB, Bundesbank and a Greek citizen on the minimum wage but philosophically this has already happened and why though I have never had anything from the UK economy but crap I am held to ransom for is it around £70K of debt?

    Like

  4. If Greece can turn a drama into a drachma, she will add another triumph to her long list of contributions to civilisation. By attempting to suppress a popular vote, the Tricycle Theatre of Torturing Technocrats sends the feline hurtling out of the container: they seek to impose dictatorship in the very land where democracy was born. We have all but sold our freedom for a handful of toilet tissue, it’s time we took another look at where that leads.

    Like

  5. mro
    Technically you’re right, but there are two questions to ask here:
    1. Having made the offer in good faith, what gave Troika2 the right to withdraw it, given it wasn’t rejected by Syriza…or was it because they thought resorting to democracy was “playing dirty”? ;-)
    2. Tsipras was making a principled point, to be stored carefully for the War Crimes court later, viz: “Remember that xx% of the Greek electorate DID reject the offer.

    Like

  6. Hiero me old plombium
    On the button as ever. But as we all know, wiv yer 4T roight, lying sh*te is their forte. As of now I suspect the game is 40-shirty in Athens’ favour. Time for a tie break….

    Like

  7. From a very trusted source John, the drachmas have long been printed and are in storage just off the M11. Both stories could be true – presumably they’ll need a lot.

    Like

  8. We are beyond saving. Destruction is all that’s left for us. Greed has consumed the very soul of folk. Many will say but, I’m not greedy as they order their new smartphone, turn up the central heating and head to the supermarket in their car thinking, shall we have a take-away tonight love? The pain that the ‘elite’ will feel will be far more intense as they have a lot more to lose.

    Like

  9. It matters not what currency they use the destruction of Greece will continue relentlessly. This is far from over in any sense of the word, after all, can’t any others escaping, can we?

    Like

  10. The wisest words I have heard so far come fro the sturdy Alex bog. Greece will continue to exist long after the EU has been consigned to history.

    Like

  11. All hail the domino theory. The IMF wouldn’t mind a Grexit, quite the opposite : “IMF’s Chief Economist Olivier Blanchard summed this up well few months ago: “If the Greek exit does happen I think it is a way [for the Europeans] to appease the markets by proceeding further with the fiscal union; that would certainly be the right move.””

    Like

  12. Here in Germany the press is going hog-wild:

    It seems that the 18 Euro finance ministers (eurogroup, innit?) have caved and said that negaotiations with Greece will continue “without end, in principle”:

    http://deutsche-wirtschafts-nachrichten.de/2015/06/27/euro-retter-rudern-zurueck-tuer-fuer-griechenland-wieder-offen/

    and ELA is continued

    http://www.faz.net/aktuell/wirtschaft/eurokrise/griechenland/griechenland-krise-ezb-verweigert-griechischen-banken-zusaetzliche-hilfen-13672991.html

    or not

    http://www.spiegel.de/wirtschaft/soziales/griechenland-ezb-verlaengert-nothilfen-an-griechische-banken-a-1041049.html#ref=rss

    angie merkel has called an emegeny meeting of all party heads of the bundestag:

    http://deutsche-wirtschafts-nachrichten.de/2015/06/28/merkel-ruft-alle-partei-spitzen-aus-dem-bundestag-zur-krisensitzung/

    Boo-Ya, as Ali G was wont to say.

    Like

  13. Please let me know when you find out the wording on the July 5 ballot. What exactly are they voting on? This is crazy.

    Like

  14. There is another possible kick of the can available to the Troika. The €1.6bn payment due on Tuesday to the IMF could be settled within the Troika since it appears that Greece is owed €1.9bn as a its share of ECB profits from last year.

    Like

  15. Ruxley’s link above sheds light on this and makes revealing reading, Bill. “Do you accept the institutions’ proposal as it was presented to us on 25th June in the Eurogroup?” seems to be the likely wording, not crazy at all.

    Like

  16. The good news for Greece is that a sovereign default by a government of all its overseas debt, if properly handled, is a winning situation. There are no interest payments, capital repayments, no Chapter 11, no negotiations, its game over for the German and French governments., and hard cheese to their taxpayers. The Greek private sector can look after themselves,and pay their creditors. The key is having a competent central bank to oversee the creation of a new currency, permit a devaluation, whilst keeping inflation under control (hint, more taxes).Just do it not like Argentina. I seem to recall that it was Johnny van Neumann, a German, who was the creator of games theory. Merkel has not had the right bedside reading.

    Like

  17. Greetings to all and please accept a heartfelt THANK YOU ALL for your comments and sympathy with the drama that is unfolding, or climaxing, here in Hellas.
    I had the intention of writing and sharing with you all a comprehensive account of the developments and some thoughts on and interpretations of the current state of affairs.
    However, having watched carefully and painstakingly the debate in the Hellenic Parliament about SYRIZA’s proposal for a referendum (and coming quite close to smashing the damn screen a few times) I am so drained that I can only make a few bullet points:
    1) My feelings are extremenly ambivalent: on the one hand I am very proud about being a Greek (SYRIZA’s brave proposal to consult the people’s voice with regard to a major issue regarding national sovereignty and pride) and on the other hand I feel utterly ashamed of being a Greek due to the stance and the rhetoric of the representatives of a significant part of Greece’s population namely the leaders and MPs of Nea Demokratia, PASOK and To Potami. They acted as a well orchestraded chorus representing the most extreme opinions of Schäuble and his stooges in the Eurogroupe and elsewhere.
    2) I consider Schäuble directly responsible for crimes against humanity (not only in Greece) and if there is an iota of faireness in this life we live he should, at the very least, be prosecuted as other War Criminals have been so far.
    3) Having witnessed with my own eyes and ears the impossible to describe stance of Samarass, Veryzealous, Theodorakis, Loverdos, Mitsotakis, Voridis, Georgiadis et al. I can no longer feel the anger I used to feel at the average beer-drinking, wurst-eating, Bild-reading Hans or Helga, voters of Schäuble, from Bavaria.
    4) To the excellent and comprehensive analysis of Mr. John Ward “THE MISSING PIECES IN THE GREECE v TROIKA2 PUZZLE: A FINAL ANALYSIS…..” I would like to add a further dimension as to why the situation of Greece is utterly hopeless. There was no chance in hell the “civilised” Europe and the instrument of the transatlantic “democracy exporters” to propose a deal that would be anything short of direct humiliation and contempt against the current Greek Government and the people supporting it. The reason is now quite obvious: A no matter how hard but fair and viable deal would strengthen the current Greek Government and at the same time would expose the true extent of the treason against the Greek people of the previous complicit “governments”. Herr Schäuble stated explicitly that Europe cannot co-operate with this Government thus implying that he prefers to co-operate with the “decadent political elites of Greece that are the main responsible for the current state of Greece” – his own ducking words!
    5) It is now an open state of war against Greece with all that this entails (tomorrow the banks will not open).

    I trully hope that the only chance left now is: a) a general awakening in Greece by overcoming fear and be ready for ANYTHING and b) raising as much support as possible internationally exactly as it was against the 7-year dictatorship.

    THEY ARE TRYING TO OVERTHROW A DEMOCRATICALLY ELECTED GOVERNMENT IN AN EU AND EZ MEMBER STATE AND IMPOSE A BANANA REPUBLIC AT THE BIRTHPLACE OF PHILOSOPHY AND DEMOCRACY. WE NEED ALL THE SUPPORT WE CAN GET.

    Like

  18. Pingback: GREECE: GOVERNMENT ‘PRINTING DRACHMAS | RevolutionRadio.org

  19. A week without cash will have those Greeks queuing to put their ticks in the “YES” box faster than you can say “Yanis Varoufakis”.

    It will be sold as a taste of things to come if they vote the wrong way.

    Only thing I am not sure of is whether there will be new elections or whether Syriza will try to cling on.

    Of course, it is not what Greece needs – but this isn’t about Greece’s needs.

    Like

  20. Hello all Sloggers,

    I would be most grateful if one of you who, like me, frequent Zerohedge.com on occasion, would be of the mind to contact one of the Tylers there or advise me on how to do same. I have been blocked from that site, and for the life of me I cannot understand why. I have left two genuinely innocuous comments there in the past 10 days. Absolutely nothing distasteful nor libelous about either, especially when I compare my comments to the stronger opinions that are often left there. Yet here I am, blocked without reason nor recourse. I’m assuming it’s a mistake. If anyone can help me out on this one I would be eternally grateful.

    Regards
    Supafeckinmingster

    Like

  21. As a long time Greek resident I do as always wish the Greeks the best but I fear that misinformation and fear for the future will lead to a never ending humiliation if they are panicked into acceptance.
    The antics of ND and Potami are beneath contempt as they jostle to preserve the status quo and grovel to the EU (Germany). Most of them can afford to! A bit like Brand and Churchill campaigning against austerity.
    One way or another this would only lead to big trouble in the future so I hope for the short term pain and a long term recovery.
    It`s gonna be an interesting week!!

    Like

  22. No, the Greeks lost their democracy when they joined the euro.
    They have no democratic choice now – they either accept the Troika’s terms or they are cast into Balkan oblivion without even a currency to call their own. It is hobson’s choice to covert Tsipras’s incompetence, nothing more.
    The Greeks will vote to accept the Troika’s deal, Tsipras will resign, and the Greeks will welcome a Monti-style functionary with open arms to end their national nightmare.

    Like

  23. Now they have capital controls until the 7th of July limiting cas withdrawals to 60 Euros per day.

    This is going to be an interesting week………KFC is the fat lady warming up?

    Like

  24. Don’t rely on the Times for your information, ECB’s net profit for 2014: €989 million (2013: €1,440 million)!

    Like

  25. …end their national nightmare?? Perpetuate, surely! Default, drachma, devalue, the only sensible way to end the nEurosis. Anyway, the nightmare is international, in case you hadn’t noticed.

    Like

  26. @SuperF
    TylerD does the same to me… ZH is just a front to sell more crappy US financial products.
    Trust me, I do admire some of ZH’s posts, but you have to question their motives. Now JW, why are there no POP-ups on the Slog?
    WAD

    Like

  27. @Tom
    You may need to get out more but you certainly need to understand more. That is the biggest, most stinking pile of EU anti-Greece propaganda that I have ever read and, presumably, was either written by a 10 year old or a paid Troll. Go figure.
    IABATO
    WAD

    Like

  28. @ Phaedrus

    Indeed, a general awakening is needed, but it should not be that difficult to achieve: Greece can take a look back on what the Troika have been saying, comparing it to what they and their enablers (eg ratings agencies) were actually doing. I remember full well that in 2010, 2011, and into 2012 each time an additional lump of debt was being sold to Greece, the Troika and their helpers were saying that taking on the extra debt was indispensable, otherwise the country would be downgraded. Each lump of debt was taken on, and every time, Greece was downgraded by the rating agencies. What they say must be ignored, because they have proved themselves to be absolute liars and masters of deception.

    I understand that Greece is partly in the dire situation because of its media, which is anti-SYRIZA, and for the other parties. Mr. Tsipras was right when in 2012 he accused the media of corruption and of facilitating the tragedy of Greece. I believe the national public service media – annihilated by the previous treasonous governments who served the creditors rather than the nation – has been brought back in service recently. I do hope that they will be able to present the facts to the nation. The world will not come to an end if Greece proudly says a historical “OXI” again. There will be hardships, sure, but without the OXI, the hardships will be worse, and take much much longer.

    I think SYRIZA are very brave, given the fact that the last time anyone dared bring up the idea of a referendum, an immediate, forced change of government ensued. It is not just a brave thing to do, it also is the right thing to do.

    As a Hungarian, I have an understanding of what it is like to undergo significant attacks by the EU and even the USA. What helped turn things around to some extent was when we were attacked the hardest, and the EU thought that our prime minister was just about to fall, we had a demonstration in support of our prime minister. It was held in the evening, participants carrying candles. The demonstration was probably the most massive one in Hungarian history (we do not have reliable figures for the 1956 events). While the demonstration was downplayed by the mainstream media, all powers with satellites could see the vast support the prime minister enjoyed. We escaped destruction then.

    A mass demonstration in Greece as expression of support for sovereignty and in support of the government before the referendum could help a positive outcome. (It is helpful to have a demonstration FOR rather than against something – the impact tends to be much better).

    But also, Greece deserves demonstrations of sympathy in Italy, in Spain, in Portugal, in Iceland (they also have quite some experience), and of course, Hungary. (I wish I had the network to make it happen – I will try, though, doing a bit of cold calling).

    Like

  29. @skeptic
    Change your moniker…to “realist”.
    Everything you say is correct.
    Greece has been butt-f:;(ed by the Eunatics and the Troika/Troika 2 and it is past time that she pulled her knickers back on to prevent any further rape. Tell me if I am wrong. I would never go back to Greece whilst they keep the Euro but I will do so if they return to the Drachma.

    Deutschland has played its last hand for me.

    WAD

    Like

  30. Please note that the EU (see Germany) is not interested in discussions but aims to impose an ultimatum to Greece. This is a financial nazism, a fascist monetary move in order to invade a sovereign country. Greece unfortunately was always a stupid country guided by high morals and ideals (see democratic). So the Spartans stopped the Persians, Alexander the Great did the same, the Byzantines stopped the Ottomans during the first WW we were with the “allies” and during WW2 we were the only ones who were winning against the superior Italian fascists until the nazis joined them. I declare that the Greeks are stupid and should have allowed all the above to have a free passage towards the rest of Europe-even join them as allies. Unfortunately we were always idiots-democrats my foot!
    As far as today’s events go, who cares. The media statements are written by Merkel and the rest long time ago.Drachma? Drachma will be then. If Europe wants to establish a gigantocapitalistic structure similar to past empires with a capital and then satellite city-countries, they may as well keep it together with their euro and their corrupt Siemens companies and banks.
    Currently everyday Greeks, labelled “corrupt” by many, cannot even get money out of ATMs nor petrol nor groceries. Is this what Europe has kept in store for Greece? Yea…

    Like

  31. Whoa, there is a war crimes tribunal coming after this? So this financial warfare stuff has finally been recognized for the fatalities it entails.

    Like

  32. The only reason camelrunner wants to get out of the EU is to destroy YOUR Human Rights protection and turn good old blighty into the 51st state of the USA. As the ex-director of the CIA once pointed out (While John Major was pretending to be leader)

    “Every prime Minister since Callaghan is appointed by the cia. If you sweep Majors fringe aside you mwill see the letters CIA printed on his forehead.”

    does anyone need to know more mthan that ? America is 5% of the worlds population. We should focus on doing business with the other 95% and when the CIA tries to enforce ‘regime change’ on us we should meet the threat by executing the CIA rabble rousers AND the traitors within our own government. High Treason is still punishable by death in this country.

    And that goes for the traitors who sold us out in the past. If they are not too busy picking up their 30 pieces of silver from their CIA masters.

    Like

  33. Wow! what a surprise ! my previous post was disappeared ! after several attemts to post it and having my connection cut off every time i hit ‘post comment’.

    Like

  34. Agree wholeheartedly H – should have gone for this years ago but their corrupt elites were too busy enriching themselves at the expense of the ordinary folk… Likewise on the international scene !

    Like

  35. Phaedrus, good luck to you and your countrymen, you may need it.

    The troika and their allies will spend all week causing trouble and trying to discredit the Greek government, make no mistake about that. They are already trying to blame Greece for the breakdown in the talks forgetting that they are the one’s who have been intractable all along. Fortunately they will be open to the full view of public scrutiny.

    Is this the start of the great unraveling of the madcap neo-con experiment of the last 30 years? I hope so, but men of integrity and courage are needed right now and I don’t think there are many of them around at the moment.

    Again, good luck to you and God Speed.

    Like

  36. You seem to have summarised it perfectly. Please repost on the Telegraph and Guardian blogs – the left-wing need to get wind of how fascist the EU has become.

    Like

  37. Beautifully said my friend, Hieronymousb, and I hope John is right and our government has indeed started printing drachmas. Because if it has not, they are are sold and playing along a hideous plot to have the new devastating treaty “approved” in a referendum.
    What a glorious victory for Euro-austero-crats would that be!
    What an utter defeat for democracy!

    Like

  38. I believe – going from his previous posts on the matter – that Mr.Ward is still trying to master Windows 8.1 on his laptop & get it to do what HE wants & NOT what IT wants.At least we’re spared Viagra & penis enlargement ads.Oh,& ZeroHedge has probably the very worst comments layout I’ve ever seen.If you scroll down far enough it degenerates into a single word on each line

    Like

  39. Second thoughts, Em, I suggest you repost this thread wherever you like.
    I’m sure JW will not mind.
    Perhaps: “Sharp analysis, with some comments, on Greek plight in EU “partnership” ?

    I tried getting on the Telegraph this morning, both Janet Daley’s blog, & Douglas Carswell’s, & could get nothing more current than October 2014 on both. Weird.

    Best,
    JD.

    Like

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s