Govt advised not to guarantee the banks..

Report

It turns out that the govt were advised by Merrill Lynch that this would 'almost certainly negatively impact the State's sovereign credit rating and raise issues as to its credibility'.

There's a figure of 500 billion mentioned..Surely this amounts to treason..
And this is even the version edited by the DOF due to 'cabinet confidentiality'..

I really do despair at this stage..

Liam Byrne

Makes you wonder what criteria Cowen & Lenihan use to determine "the best advice available".

At this stage every lie they've told has been exposed, from Lehman's to the above gem.

So the only question remaining is how do we get them out ?

hinault

I agree with Liam on this.

At every stage of this crisis, we have been told one thing when the other has been apparent.

We were told that NAMA would make a profit.
We were told that the govt had no other option but to guarantee the banks.
We were told that those who had outstanding loans would be vigourously pursued.


We've been lied to throughout.

Damn right..there's three months to try to get something organised ...this has gone way beyond a joke..

ei.sdraob

we were told we have the cheapest bailout in world

when its by far the most expensive, by a long shot

Dubh Geannain

The 50 documents are located here:

http://www.oireachtas.ie/viewdoc.asp?fn=/documents/Committees30thDail/PAC/Reports/document1.htm

Dubh Geannain

Health warning first:

Some documents have not been released, and in some cases some information - especially institution specific data - has been redacted.

http://www.oireachtas.ie/documents/committees30thdail/pac/reports/document3.pd

And:
From a letter to the Minister for Finance on 08/05/2008

A domestic shock (e.g. failure of a major property developer or very sharp further falls in propery prices) would have a major negative effect on the financial position of the Irish banks on a systemic basis.

Translation: bail out big (not small) developers, prop prices up and systemic is the word of the day

http://www.oireachtas.ie/documents/committees30thdail/pac/reports/documentsregruarantee/document31.pdf