The Crooked Traders of london

Back in 1964 a labour politician George Brown, who was Deputy Leader of the Labour Party coined the phrase “Gnomes of Zurich”. He meant, of course, the Swiss bankers and their client speculators (who came from all over the world) who decided, rightly in retrospect, that the British Economy was not all it was cracked up to be and that the British pound was overvalued.  These speculative activities ultimately resulted in the pound in our pockets being devalued and somehow the blame was the fault of the gnomes who lived and worked in underground vaults of the Swiss banks who held the secret funds of people all over the world, including those of the wealthy British.

Banks, like the leopard cannot change their spots and like the Ethiopian cannot change their skins. They are founded to make money by borrowing and lending for a profit and by speculating and trying to outsmart other banks. Sometimes they act as principals and sometimes as mere brokers; they rarely act with principles and often their broking is aimed to break something.

In the recently discovered LIBOR fraud we have found that the banks are alleged not to have returned true figures for the rates at which they were lending to each other, thus over charging the poor fools who borrowed at rates fixed to LIBOR or short changing those other fools who lent at rates fixed to LIBOR.

Bloomberg has reported that transcripts have been brought into the cold light of day which show just how casual and widespread the fraud was; the following is part of a transcript of a conversation when a Royal Bank of Scotland trader was supposed to be returning the actual rates of LIBOR for the actual deals that the trader had made:

Q “What’s the call on LIBOR?”

A “Where would you like it, LIBOR that is?”

Q “Mixed feelings but mostly I’d like it all lower…” –

A “Ok, I will move the curve down 1 basis point, maybe more if I can.”

There are trillions of pounds of transactions by commercial borrowers and lenders that depend on LIBOR being exactly what it says on the tin – the London Inter-Bank Offered Rate.

One thing is certain; as criminal as this behaviour is, no one in the British Banking system will go to prison for the fraud; directors and senior managers will remain untouched but doubtless some overpaid underling will be found responsible and the bank will publish statements of extreme regret that these oversights, from which they have profited, could have occurred.

The threat is not from the gnomes of Zurich but the crooked traders of London.

3 Responses

  1. So, the banksters are crooked.

    I hear today that Starbucks paid £0 tax last year on a turnover of £398M while Costa coffee paid £15M on a turnover of £378M.

    It seems to me that HMRC is not doing its job but perhaps that is because, like our politicians, it has been shmoozed.

    Look at the retirement send-off given to Dave Hartnett by the rich and powerful earlier this year:

    There cannot be one single good reason for Vodafone, Goldman Sachs etc to have given Hartnett such a loving sendoff.

    Sadly, corruption is not limited to banksters and corporates. Our politicians, civil service, local government is now riddled with corruption and cronyism.

    This, once upright, country has become corrupt at all levels. For those, as yet, uncorrupted, they now have a choice.

    (1) Wait to be cheated and impoverished.

    (2) Join in.

    • A possible cause and design of a society now in ruins,an X factor of files worth looking into.

      Decimalisation was the first great robbery of the common man, where 140 out of 240 units were stolen over nigjt, distracted by a fancy add campain, right from under their noses, then the corporate base rate is lifted for each hike there after, enabling their base rate to rise virtually unoticed.

      A common theme of theft can only reach grass route level if a willfully blind eye and overall control is being diluted from within, that faction now heavily integrated and in the same headquarters as Demos, a faction called “Common Purpose” unleashed to divide rationality, and commom scence of the common man, and men in authority become greed pigs by design, while nobody is paying attention.

      All instegated by greed via debt and many crooked cheifs right down the line of command, then overall governance becomes lax by this very design, then history tells us that, we fail to learn from what history teaches us.

  2. Watch out for a well known bunch of crooks being fined yet another billion credits, fraud as a four letter word. And at the touch of a button it will be all over in, the illusion that is money.

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