Dying For The Euro? Implement A Global Glass-Steagall

May 11, 2010 (LPAC)—Using every threat imaginable, London deployed the ECB, the European Commission and British puppet Barack Obama to arm-twist European leaders—especially in Germany—into accepting on the eve of May 10, a giant bailout swindle of up to $1 trillion for starters: the figure demanded by the City of London in the past weeks to attempt to save the bankrupt banking system.

The Great European Bailout Swindle will be composed of: a) EU60 billion immediately available, which the EU Commission will take from earmarked funds of the EU budget; b) a EU440 billion euro loan guarantee fund managed by a newly created Special Purpose Vehicle, which will borrow money at market rates under guarantee of all EU member-states; c) an IMF facility of EU250 billion; d) a combination of unlimited ECB liquidity-pumping measures, including the so-called "nuclear option," i.e. direct purchase of state bonds; e) a Federal Reserve swap line to the ECB, in order to provide dollar loans to Eurozone banks.

This intrinsically hyperinflationary policy will be accompanied by brutal austerity imposed on Greece, Portugal and Spain, for a start—and quickly on all of Europe. Thus, the brutal "Bruening model" imposed on Greece has now been extended as we had warned, with catastrophic consequences on the real economy of those nations. The whole package is insane and will not work. Furthermore, in those aspects that represent an expansion of the powers of the EU Commission, it violates even current EU treaties—let alone natural law.

EU governments have surrendered to the banksters. Don't let yourself be fooled: The intent is not to save countries from bankruptcy, such as Greece, Spain or Portugal; the intent is to bail out the bankrupt global financial and monetary system, by destroying nations and their populations.

As Lyndon LaRouche pointed out on Saturday, May 8: "Greece should not have been bailed out. They should have been, as a sovereign nation, gone through reorganization of their finances, under sovereign direction." Commenting on German Chancellor Angela Merkel's capitulation to the mega-bailout, LaRouche said: "This operation was entirely British. And you can say so. I can be quoted on this, publicly attributed, yes. The British system is in an existential crisis, and what happened on Wall Street on Thursday [the 10% market collapse] is a reflection of that existential crisis of the British system." LaRouche pointed to the Inter-Alpha Group of banks, which involves especially the banks of Spain, Portugal, Ireland, England and some others, which represents the core of the British system. This group is "intrinsically bankrupt" and this is "an existential crisis for the British Empire."

Under current conditions, solutions to the European crisis will not come from inside Europe. Only an outside factor—a global factor—can work. We are dealing with a global empire and only the Glass-Steagall reform will crash the empire. The outcome of the fight for Glass-Steagall in the United States will affect processes globally, including Europe.