Somers tells of Trichet's shock at toxic loans

irishtimes.com/newspaper/fin … 47695.html

he also strongly implied that he had argued against extending the bank guarantee to Anglo in September 2008. When asked if guaranteeing the savers but ensuring the Anglo bondholders would take a hit would have caused a problem in the sovereign debt markets he said probably not. He then went on to talk about Irish Shipping when he had been involved many years ago where bond holders took a hit despite fears at the time that this could not be allowed. If he did argue against this in September it raises very serious questions for Cowen’s alibi of best advice. Somers after all is the pre-eminent expert in this state on international bond markets.

So its now confirmed that the Anglo bailout was NOT to protect Irelands sovereign bonds, but merely a bailout of investors and bankers connected with FF. They were lying to us all through this crisis.

The protests outside Anglo need to be stepped up. We can still reverse some of the Anglo bailout.

Did anyone hear Somers on Finucane? Did he do accents?

Did Trichet also gulp when he decided to print €400 billion for the German banksters via Greece last week?

Load of shite.

More likely Somers shat his pants when Trichet instructed himself and Lenny as to how they were going to manage their bankster friend’s exposure to a potential Irish collapse.

I think that confuses two issues that he touched on — He didn’t offer any real opinion on whether you could make depositors whole and not the senior bonds. There is nothing I’ve yet seen that suggests you can get away with that - they are pari passu and that’s it. The second (and more important point in my view) was whether defaulting on the non-senior bonds would have hurt our sovereign debt raising ability, and you are right he definitely did suggest that he didn’t think it would have hurt us too much, if at all. I share that view for many reasons one of the most obvious being that such a move could have actually helped our reputation as it would have been a clear indication that we were getting our house in order, both taking and handing out pain to get us in shape.