Quote from: zeroday on April 04, 2013, 08:21:39 PM

I've just found this comment on falkvinge.net and I think this is excellent explanation about what is now happening to Laiki Bank and why this situation is unfair and unconstitutional.

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According to the resolution measures (the rules they just made up to give special treatment to some creditors exactly what bankruptcy law was created to safeguard against), customers who borrowed money from Laiki Bank and have no significant deposits there will simply be moved to Bank of Cyprus without having to pay back the money before originally planned.

http://www.centralbank.gov.cy/nqcontent.cfm?a_id=12631

Remember that loans are assets on the balance sheet of a bank. This is how they make money. By making up an arbitrary rule that the assets are to be moved out of the bad bank, the losses to savers and businesses like this company will be significantly bigger than if Laiki Bank had gone through an ordinary bankruptcy.

Christ. It would be less blatant if they just took all the money out in wheelbarrows.