“Did you encourage them to make up the made up thing to their own advantage?” That’s how one Twitter correspondent paraphrased a question to the Deputy Governor of the Bank. The LIBOR scandal has exposed the institutions and culture of the City to popular scrutiny as never before. The population is reacting with justified incredulity to the absurdity it is finding.
Read the rest of my article here.
What about you?
For example, you take money from people for their pension. That creates a liability. However because you’ve spent all that money, that presents a major problem for government accounts. The accounts should report the liability, but because you’ve spent the money, there are no assets to offset the debt. So you hide the debt.
This is the identical problem that Bernie Madoff had when running his Ponzi, so he employed an accountant to report fake figures, and there was a whole section of his company making up false numbers.
So when it comes to putting houses in order, are you going to publish a true and fair set of government books? Some how I doubt it.
The consequences are serious. You’ve voted for stealing 20,000 pounds off a person only earning 26K a year. That’s the extent of changes you’ve made to try and keep the ponzi going.
Obligatory joke.
First rule of Libor fixing club – don’t talk about Libor fixing.
I can understand your frustration, Nick, but I can’t understand the hostility directed towards Mr. Baker.
He’s one of the few MPs who realise the current system is horribly broken, and he’s doing what he can to sort it out.