We are all debt slaves illegally thanks to “governments” borrowing money that we-the-people have to repay through taxes, interest and all. By the way, charging interest is illegal as well. Guess what, we the people do NOT have to repay anything to central banks because we did not sign the loan. The Greek people did not sign off on any loan, yet are being held hostage by the foreign owned central banks who now run the show and can order what they want into policy. Banks run Greece now, because the banks printed fake money out of thin air and “loaned” it to Greece with interest rates that assured the loan could never be repaid. Because the loan can never be repaid, each and every year unto infinity the tyrannical banks expect to get every cent the Greek people have and think it will just be given to them forever. A debt that can’t ever be paid off? They must think the planet is stupid to think every nation with a foreign owned central banks will just lie down and keep paying all their money to the banks forever. Actually people are not that stupid, and now people know how illegal this is. It is nothing but theft and illegal debt slavery.
Any country that denies entry to the central bank world rulers are bombed and destroyed, take Syria as an example. What is worse is that those nations that are already slaves in the New World Order help to destroy Syria and other nations that could potentially lead the freedom movement. Do people really want to live in austerity to the Corporations and banking mafia with illegal loans and no way out? Banks are running nations! Also right now, Citibank is moving much of their gold and cash out of America ahead of the US dollar crash. They will not be giving any money back to people who lose it in the September banking crash. The banks are preparing for the end of the US dollar, what does that tell you?
Please take the time to read this fascinating article below:
“Don’t Owe. Won’t Pay.” Everything You’ve Been Told About Debt Is Wrong
With the nation’s household debt burden at $11.85 trillion, even the most modest challenges to its legitimacy have revolutionary implications.
By Charles Eisenstein
August 24, 2015 “Information Clearing House” – “Yes” – The legitimacy of a given social order rests on the legitimacy of its debts. Even in ancient times this was so. In traditional cultures, debt in a broad sense—gifts to be reciprocated, memories of help rendered, obligations not yet fulfilled—was a glue that held society together. Everybody at one time or another owed something to someone else. Repayment of debt was inseparable from the meeting of social obligations; it resonated with the principles of fairness and gratitude.
The moral associations of making good on one’s debts are still with us today, informing the logic of austerity as well as the legal code. A good country, or a good person, is supposed to make every effort to repay debts. Accordingly, if a country like Jamaica or Greece, or a municipality like Baltimore or Detroit, has insufficient revenue to make its debt payments, it is morally compelled to privatize public assets, slash pensions and salaries, liquidate natural resources, and cut public services so it can use the savings to pay creditors. Such a prescription takes for granted the legitimacy of its debts.
Today a burgeoning debt resistance movement draws from the realization that many of these debts are not fair. Most obviously unfair are loans involving illegal or deceptive practices—the kind that were rampant in the lead-up to the 2008 financial crisis. From sneaky balloon interest hikes on mortgages, to loans deliberately made to unqualified borrowers, to incomprehensible financial products peddled to local governments that were kept ignorant about their risks, these practices resulted in billions of dollars of extra costs for citizens and public institutions alike.
A movement is arising to challenge these debts. In Europe, the International Citizen debt Audit Network (ICAN) promotes “citizen debt audits,” in which activists examine the books of municipalities and other public institutions to determine which debts were incurred through fraudulent, unjust, or illegal means. They then try to persuade the government or institution to contest or renegotiate those debts. In 2012, towns in France declared they would refuse to pay part of their debt obligations to the bailed-out bank Dexia, claiming its deceptive practices resulted in interest rate jumps to as high as 13 percent. Meanwhile, in the United States, the city of Baltimore filed a class-action lawsuit to recover losses incurred through the Libor rate-fixing scandal, losses that could amount to billions of dollars.
And Libor is just the tip of the iceberg. In a time of rampant financial lawbreaking, who knows what citizen audits might uncover? Furthermore, at a time when the law itself is so subject to manipulation by financial interests, why should resistance be limited to debts that involved lawbreaking? After all, the 2008 crash resulted from a deep systemic corruption in which “risky” derivative products turned out to be risk-free—not on their own merits, but because of government and Federal Reserve bailouts that amounted to a de facto guarantee.
The perpetrators of these “financial instruments of mass destruction” (as Warren Buffett labeled them) were rewarded while homeowners, other borrowers, and taxpayers were left with collapsed asset values and higher debts.
This is part of a context of unjust economic, political, or social conditions that compels the debtor to go into debt. When that injustice is pervasive, aren’t all or most debts illegitimate? In many countries, declining real wages and reduced public services virtually compel citizens to go into debt just to maintain their standard of living. Is debt legitimate when it is systemically foisted on the vast majority of people and nations? If it isn’t, then resistance to illegitimate debt has profound political consequences.
This feeling of pervasive, systemic unfairness is palpable in the so-called developing world and in increasing swathes of the rest. African and Latin American nations, southern and Eastern Europe, communities of color, students, homeowners with mortgages, municipalities, the unemployed … the list of those who strain under enormous debt through no fault of their own is endless. They share the perception that their debts are somehow unfair, illegitimate, even if there is no legal basis for that perception. Hence the slogan that is spreading among debt activists and resisters everywhere: “Don’t owe. Won’t pay.”
Challenges to these debts cannot be based on appeals to the letter of the law alone when the laws are biased in favor of creditors. There is, however, a legal principle for challenging otherwise legal debts: the principle of “odious debt.” Originally signifying debt incurred on behalf of a nation by its leaders that does not actually benefit the nation, the concept can be extended into a powerful tool for systemic change.
Odious debt was a key concept in recent debt audits on the national level, most notably that of Ecuador in 2008 that led to its defaulting on billions of dollars of its foreign debt. Nothing terrible happened to it, setting a dangerous precedent (from the creditors’ point of view). Greece’s Truth Commission on Public Debt is auditing all of that nation’s sovereign debt with the same possibility in mind. Other nations are likely taking notice because their debts, which are obviously unpayable, condemn them to an eternity of austerity, wage cuts, natural resource liquidation, privatization, etc., for the privilege of staying in debt (and remaining part of the global financial system).
In most cases, the debts are never paid off. According to a report by the Jubilee Debt Campaign, since 1970 Jamaica has borrowed $18.5 billion and paid back $19.8 billion, yet still owes $7.8 billion. In the same period, the Philippines borrowed $110 billion, has paid back $125 billion, and owes $45 billion. These are not isolated examples. Essentially what is happening here is that money—in the form of labor power and natural resources—is being extracted from these countries. More goes out than comes in, thanks to the fact that all these loans bear interest.
What debts are “odious”? Some examples are obvious, such as loans to build the infamous Bataan Nuclear Power Plant from which Westinghouse and Marcos cronies profited enormously but which never produced any electricity, or the military expenditures of juntas in El Salvador or Greece.
But what about the huge amount of debt that financed large-scale, centralized development projects? Neoliberal ideology says those are to the great benefit of a nation, but now it is becoming apparent that the main beneficiaries were corporations from the same nations that were doing the lending. Moreover, the bulk of this development is geared toward enabling the recipient to generate foreign exchange by opening up its petroleum, minerals, timber, or other resources to exploitation, or by converting subsistence agriculture to commodity agribusiness, or by making its labor force available to global capital. The foreign exchange generated is required to make loan payments, but the people don’t necessarily benefit. Might we not say, then, that most debt owed by the “developing” world is odious, born of colonial and imperial relationships?
The same might be said for municipal, household, and personal debt. Tax laws, financial deregulation, and economic globalization have siphoned money into the hands of corporations and the very rich, forcing everyone else to borrow in order to meet basic needs. Municipalities and regional governments now must borrow to provide the services that tax revenues once funded before industry fled to the places of least regulation and lowest wages in the global “race to the bottom.” Students now must borrow to attend universities that were once heavily subsidized by government.
Stagnant wages force families to borrow just to live. The rising tide of debt cannot be explained by a rising tide of laziness or irresponsibility. The debt is systemic and inescapable. It isn’t fair, and people know it. As the concept of illegitimate debts spreads, the moral compulsion to repay them will wane, and new forms of debt resistance will emerge. Indeed, they already are in places most affected by the economic crisis, such as Spain, where a strong anti-eviction movement challenges the legitimacy of mortgage debt and has just gotten an activist elected mayor of Barcelona.
As the recent drama in Greece has shown us, though, isolated acts of resistance are easily crushed. Standing alone, Greece faced a stark choice: either capitulate to the European institutions and enact austerity measures even more punishing than those its people rejected in the referendum or suffer the sudden destruction of its banks. Since the latter would entail a humanitarian catastrophe, the Syriza government chose to capitulate. Nonetheless, Greece rendered the world an important service by making the fact of debt slavery plain, as well as revealing the power of undemocratic institutions such as the European Central Bank to dictate domestic economic policy.