Help Us Go Viral!


We no longer have the
luxury of time.







Who's Online
Guest Users: 272
Latest Videos
My Account
Please Support Us With A Purchase


Global Healing Center? is a leading natural health provider offering natural and organic supplements, cleanses, and a wealth of free natural health articles.

Global Healing Center? is a leading natural health provider offering natural and organic supplements, cleanses, and a wealth of free natural health articles.

Iceland Recovering Fastest in Europe After Jailing Bankers Instead of Bailing them Out


 

By Claire Bernish
 

(ANTIMEDIA) After Iceland suffered a heavy hit in the 2008-2009 financial crisis, which famously resulted in convictions and jail terms for a number of top banking executives, the IMF now says the country has managed to achieve economic recovery—“without compromising its welfare model,” which includes universal healthcare and education. In fact, Iceland is on track to become the first European country that suffered in the financial meltdown to “surpass its pre-crisis peak of economic output”—essentially proving to the U.S. that bailing out “too big to fail” banks wasn’t the way to go.

Iceland is beautifully, yet unfortunately, unique in how it chose to handle the disaster. It simply let the banks fail, which resulted in defaults totaling $85 billion—lending ample justification for the prosecution and conviction of bank executives for various fraud-related charges. The decision seemed shocking at the time, but the gamble has obviously paid off. Choosing a different route, the U.S. bailed out the banks and let executives off the hook by levying fines that ultimately ended up being paid by the corporations—meaning the executives ostensibly responsible for the mess got off scot-free.

Why should we have a part of our society that is not being policed or without responsibility?” special prosecutor Olafur Hauksson said after Iceland’s Supreme Court upheld the convictions for three bankers—and sentenced them to between four and five and a half years each. “It is dangerous that someone is too big to investigate—it gives a sense there is a safe haven.


Hauksson, a police officer from a small fishing village, ended up taking the role of special prosecutor after being urged to do so when the first announcement to fill the position drew no applicants. The Icelandic Parliament even aided the prosecution’s effort by loosening secrecy laws to allow investigation without the hindrance of requiring court orders.

Six of the seven convictions that ended up in Iceland’s Supreme Court have been upheld, and five cases were scheduled for the top court as of February. An additional fourteen cases appear likely to be prosecuted. By contrast, the animosity Americans felt toward their largest financial institutions after the bailout has grown bitter. After the banks pled guilty in May for manipulating global currency and interest rates, the court imposed a paltry fine of $5.7 billion—which won’t even go to the people most affected by the fraud. Iceland’s successful prosecutions and economic recovery remain the subject of envy for Americans.

Shortly, however, Iceland’s economic health will be put to the test.

Strict capital controls that were applied when banks were circling the drain six years ago will now be loosened, allowing foreign investors—whose assets have essentially been frozen since then—to take their business elsewhere. To prevent a possible repeat crisis, the finance minister announced a 39% tax for anyone choosing to do so. “The danger is capital flight and a consequent fall in the value of the krona,” explained University of Iceland economics professor, Thorolfur Matthiasson. “That would be tantamount to October 2008, bringing back bad memories for ordinary people and possibly making most businesses unsustainable due to balance-sheet problems.”


Though many are nervous, there is still cautionary optimism since Iceland has certainly weathered the storm before.
  • Currently 0.00/5
Rating: 0.00/5 (0 votes cast)

Share It!

Trackback

No trackback comments for this entry.

Be the first to comment
Please Support Us With A Purchase


Global Healing Center? is a leading natural health provider offering natural and organic supplements, cleanses, and a wealth of free natural health articles.
Please Make A One Time Donation
You can send a check
or money order to:
The KTAO Project
P.O. Box 1086
Crestone, CO 81131
or donate online:
Or Better Yet Become A Supporting Member
What's New
Stories  last 2 weeks
Sponsors
We have no control over
what ads google displays


Upcoming Events
There are no upcoming events
Debt Is Destroying Our Economy


National Debt Clock


Most people don't know the Federal Reserve is not a government entity. It's no more Federal than Federal Express. It's owned and controlled by the largest private banks. They are using their control of the Fed to destroy the dollar, our economy and wipe out the middle class so they can replace it with a system and currency they have even MORE control of. If we don't shut down the bankers, the Federal Reserve, this nation is history! The Congress can REPEAL THE FEDERAL RESERVE ACT and return control over our currency to "We The People." We have to take back control of Congress and DEMAND THIS HAPPEN in the upcoming election!

Worthy of Support










Help Us Go Viral!


We no longer have the
luxury of time.







Who's Online
Guest Users: 272
Latest Videos
My Account
Please Support Us With A Purchase


Global Healing Center? is a leading natural health provider offering natural and organic supplements, cleanses, and a wealth of free natural health articles.

Global Healing Center? is a leading natural health provider offering natural and organic supplements, cleanses, and a wealth of free natural health articles.