World Financial System Collapsed Because It Was Based on Fraud & Deception

Our economic gurus have spent a lot of time pontificating on the global financial crisis, which none of them predicted, but they neglect to tell us that the world's financial systems collapsed because they have for decades been based on fraud and deception.

Financial institutions, unlike all other businesses, have never had to take liability for the outcome of the "products" they market.

If you take a loan out with a bank, and you default, the bank can take your property to recoup its losses, but if you lend money to a bank which, is what you do when you give them your money to invest, and the bank goes bust, you can't take their property and sell it to recoup your losses, because they haven't got any, having lent out more money than they have.

If that's not fraud and deception what is?

Governments ought to also explain why they can bail out banks but won't bail out the farmers and manufacturers who have been put out of business, not by greed but the misguided policy of free trade.

Doesn't bailing out the banks fly in the face of the economic rationalist theory that inefficient businesses must not be propped up?

One Nation says there would have been no global economic meltdown if financial institutions had been properly regulated, and governments should give charity to the victims of the banks' excesses, not to the banks themselves.

Governments must also in future prevent lenders giving loans to people who will never be able to repay them, and make the directors of financial institutions liable when the investment schemes which they market fail.

Statement issued October 31st, 2008 on behalf of One Nation (NSW Division)
By Bob Vinnicombe Publicity Officer
For more information ring Bob Vinnicombe 0407949963 / (02) 96454910