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Eurogroup Draft: EURO Leaders capitulate to Schaeuble & threaten Greece with “time out”

It is one of Greece’s most dramatic nights: Euro-Leaders continue talks with Prime Minister Alexis Tsipras demanding from Greece the stars, the sky and the sea In fact everything, literally everything what the previous governments since 2010 have failed to implement. Everything, even the small letter of Memorandum of Understanding I and II and even some ideas Germany had some years ago, like the Trust Fund.

Many of the MoU I and II demands were proposed by the International Monetary Fund, others carry the signature of Germany and Finance Minister Wolfgang Schaeuble.

And they threaten Greece with ‘time out’ – a temporary exit from the Euro – exactly as Schaeuble dreamed of.

Below is the 4-page Draft Statement Document prepared by the Eurogroup. The document is the EG’s proposal to the Euroleaders and the basis for tonight’s talks with Greece.

Read and enjoy or freeze!

 

In details:

 

Tsipras held a separate meeting with Merkel, Hollande and Tusk, Tsakalotos with Sapin and Schaeuble.

Talks continue in Brussels.

According to latest information for Tsipras, the Trust Fund in Luxemburg, where assets worth €50 billion should be transferred is RED LINE.

It is a matter of national sovereignty. And reminds so damn’d of the German Treuhand that sold off the ex-DDR assets for a piece of bread. The Trust Fund is not new on the demands list.

It is not even an issue of whether Tsipras could pass such measures throughout the Parliament. For many Greeks and meanwhile Eurosceptic Europeans, it is a power game against Greece, aiming to destroy the country and humiliate its democratically elected government.

All Greeks I spoke with today, they told me, they don;t care anymore what will happen. They are exhausted.

The rest is waste of time and of four sheets of paper.

HERE are the links to Schaeuble’s Trust Fund from 24.08.2011 – plan worked out by Roland Berger Firm: €60 bn assets to Trust Fund + €65 bn from EFSF

PS not sure if I will allow comments on this post…

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32 comments

  1. I’m afraid Tsipras misread the situation and overplayed his hand. Now he’s holding a busted flush and is fighting to stay in the game. The sad thing is that while the power brokers play their games, the pawns (I’m mixing my metaphors here, I’m sorry) that are the Greek people are just getting swept off the board without a thought.

    Greece was never going to be able to keep pace economically with the likes of Germany, and was doomed from the very moment it joined the Eurozone. The best thing Greece can do now is to reject the Troika’s demands, default and go back to the Drachma. It will be painful, but is the alternative going to be less painful? At least Greece will have a measure of self-determination if it controls its own currency.

  2. This is a declaration of war. I read somewhere in the English press that wars have started for even less than this humiliation.

    With all due respect to the Greek people, being an outsider myself in solidarity with their plight, Tsipras should quit all diplomacy and tell them all these individuals to go fuck themselves. This is the worst humiliation yet.

    If only Syriza would have drawn a plan b… not to save their political asses, but to counteract any such disturbing scenario as this one.

    This is so sad.

    • Giaourti Giaourtaki

      It’s now perfect proven that there was never any movement from the “Europeans” and now they can take Plan B and sue them and if you sue them they have to stop all measures until the courts decide; this can take years.

  3. I fully, completely, entirely and totally agree with you.

  4. Yes, yes, yes. Ftani.Terma.

  5. Well, If you want to bite the hand that feeds you, do not forget your kids will have no food the next day.

    The money that keeps you alive comes from people that have to work for it. Where has all the previously gifted credit gone to?

    Instead of complaining you might have better be showing some appreciation. Other nations voters opinions are the only ones that count..

    • Giaourti Giaourtaki

      Go back to school, the last loan came in June 2014 Greece has to pay back until 2030 200 billion, 150 billion of it is interest.

      • Can you show official calculation? How 150 billion of 200 billion loan is interest? Do you know the interest rate Greece is paying?

        • Giaourti Giaourtaki

          2015–2020: 52.24 bln Euros for redemption and 37.93 bln Euros interest (= 90,17)
          2021–2030: 86.6 bln Euros redemption and 114.4 bln Euro interest.

          2015: 5.8 bln interest plus 16,08 bln redemption.
          Altogether for 2021 – 2024: 104.7 bln Euros of this is the bigger share is interest 66.6 bln Euros.
          Only in 2022 Greece must pay 24.4 bln Euros interest (this is what Varoufakis tried to explain all the time: Nobody will “invest” as it’s for sure that Greece will go bust of interest)
          This are the numbers the Public Dept Management Agency (pdma.gr) was forced to show to parliament in 2014, more info in top-story of sofokleous10.gr of April 2 2015

          • No calculation on pdma.gr or sofokleous10.gr that I can see to support your claim. But here is a simple calculation to show how far off you are.
            If, as you originally said, Greece is to pay 200B back and 150B of that is interest, that means Greece borrowed 50B (200 = 150 +50). For a 50B loan to be paid back by 2030 (roughly 15 years, monthly payments), Greece would be paying interest rate of over 25%/year and it does not. Surely, you can show how you calculated that 150B?

    • You obviously have no idea what you’re talking about: without debt paiments, Greece has a budget surplus, so if it stops serving its debt, it has enough money to pay for its pentionners, publics workers, school and hospitals but you, little tax payer, lose the money yours leaders lend on your behalf. So say thank you to Greece.
      An that money never went to Greece, it want to pay back private banks which chose to lend money to an unsolvent state because they bet that Europe would find a way to step in and pay them back when the inevitable problems would occur. So if you’re not happy with that arrangment go ask yours leaders how and why they turn pivate debts into public debt back in 2010.
      In the mean time, stop complaining because you just sound like a parrot repeating what his masters told him to say without understanding a single word of it.

    • And by the way “donor” means “donor” not “lender”, so if you call yourseld a “donor”, don’t complain when people you lend to take your lend as a gift.

      • keeptalkinggreece

        is ecertain a German speaking ‘donor’ coz in Germany they call “creditors’ (Geldgeber) also ‘donors’

    • If you have any money, I advise you to spend it on a brain transplant instead of giving it to Greeks. I am sure that all Greeks would consider the money better spent.

  6. Giaourti Giaourtaki

    no comment just info stolen from guardian:
    The Press Project has done some digging on the Luxembourg “Institution for Growth” to which the 4-page eurogroup paper demands that €50bn of Greek state property must be transferred. Guess what. This Luxembourg “institution” is wholly owned subsidiary of German KfW-bank and the chairman of its board is a certain Wolfgang Schäuble.

  7. When the Germans have finished destroying Greece, and declare economic war on other small countries, then the fools of Europe will regret their stupidity.
    By then it will be too late, and the European Union will be finished. There is a saying: “an intelligent man learns from his own mistakes, a wise means learns from the mistakes of others.”
    Sadly, the Germans prove themselves to be neither intelligent nor wise: they are doomed to repeat the same mistakes till Hell freezes over.

  8. Professor Pelotard

    @KTG,

    Eurosceptic Europeans are definitely not surprised witnessing this power game against Greece, which aims to destroy the country and humiliate its democratically elected government. In fact many of us warned against exactly this scenario. My feelings mirror those of Ambrose Evans-Pritchard, Daily Telegraph’s international business editor:

    “A Evans-Pritchard @AmbroseEP Paradox of eurosceptics. We always feared EMU would lead to this, but can’t bear to watch brutality of it. Not sweet at all. Entirely bitter”

  9. The EU is nothing less than a complete and total takeover of a continent by corporations and banks. It is fascist capitalism:

    This 50 billion Euro fund where Greece’s assets would be transferred to is according to this article managed by Schauble himself:

  10. I feel desperately sorry for the Greek people and their democratically elected government who were elected on the basis of no more austerity and HOPE for the future.

    The euro group has not only treated the people of Greece with complete disdain but have cruelly rubbed their noses in this economic quagmire, insinuating once again that Greeks are lazy idle spongers.
    This title belongs to those who wrecked havoc on the world economy with their casino gambling, get rich quick, grubby dealings and total incompetence – it is this section who then dumped their debts on the backs of all working people with the well worn cliche tighten your belts folk, with of course the royal ‘WE’ have been spending too much…..(and the unsaid ‘ YOU’ need to pay up)

    Where does Syriza go ? – I have never witnessed such dedication, such hard work, such effort put into bringing hope and a fair economic deal for Greek people which Syriza has demonstrated – they have worked their socks off for this nation.

    I truly hope that this party which has been besmirched and smeared by the media and the EU so unjustly receives the same response from Greek people as did the media hype about them – idle, lazy scroungers. This is disgusting tactics – vindictive, uniformed and totally untrue.

    My only hope right now is to see the strange Greek desire to stay in the EU diminish – surely this union can now be seen in its true light – they don’t give a fig about the plight of people – they are not interested in alternative ways to give Greece a chance to make good Greek debts. Non elected clique they override democracy and in my opinion are far removed from their humanitarian claim of being Greece’s ‘partners’

    For me, and I’m not Greek, I would hope that Syriza sticks to its guns and beliefs and says NO –

  11. It makes perfect sense to me. The eu wants to be sure that the.money that is borrowed is also paid back. The 50 bln in assets is just a tiney fraction of the money already given to greece 304 bln. So wake up. This is the real world

  12. When will the Greek people finally wake up and realise that the money being ‘lent’ to them by these banksters is created out of thin air? And then they want REAL assets for that! It’s a swindle, as simple as that. It’s a monopoly game and the only way to win it is NOT to play it. The Greeks need to turn the tables over, send these banksters to hell and go back to drachma. The sooner the Greek people do that, the sooner things will start better for them. And they need to send Tsipras to hell too after his latest deal with the banksters.

  13. Check out where these Greek assests are to be deposited.
    Check out who owns it.
    Check out its very dubious past history.

    If you are looking for FURTHER LOAN REPAYMENTS dont bank on this method you will be sadly disapointed

  14. Doesn’t sound too bad too me.

    – A huge amount of money (5000 euro per person) will become directly available.
    – You can take the time to privatize it, you don’t have to do it in a hurry for a bad price.
    – You cut off a considerable source of corruption.
    – You will have lay offs, but you will also attract new investment, because as state companies, any investment is probably dead now.
    – You can tax the companies without any political games.

    The Greeks may think that they get a better deal if they do it by their selves. That is probably true for “certain people”. If it is done under supervision of the EU, it will be much transparent and give a better result for the people.

    Get over your pride and save your country.

    • Professor Pelotard

      Whenver have the EU and transparency been synonymous or even patially linked?

      • Well, things are never 100% perfect, but it will be much better than it was all under supervision of Greece.

        Also, read the documents. The companies will be privatized within Greek law. And the EU requires Greece to adapt the law, to make the process more transparent, according to OECD best practices.

        So, why is the EU here the evil force?

    • There is only one flaw : Greece doesn’t have 50Bn worth of assets to be privatized. Since 2011, privatizations have been worth 5.4Bn and the best and most easily sold assets are already gone. What’s left? Hospitals? Schools? Beaches?
      Even the IMF thinks only at best Greece can manage to gain 500 millions/ year with privatizations (june forecast).

      • Giaourti Giaourtaki

        Beaches for sure as that was already wanted by them and then there’s oil drilling in the Ionian and also their propaganda-lies that there’s “no land register in Greece” makes now even more sense as they surely will force the state into stealing land of people; there are tens of billions that tourism-investors are scarred to loose in North-Africa…
        But if Greece needs a sponsor Zuckerfart will give 500 billion to have the right to call the Parthenon “Facebook”, so siga siga

  15. Words are becoming meaningless. How can one understand that after five yars of bailout all is worst than in the beginning? No child can accept this logic, as no Greek child can accept that he needs to carry all his life the reparations from supposed faults he is for sure not responsible for. This looks to me as a crime against humanity, sorry KTG for this strong word. Is there still a place in Europe where justice means just justice?