Tuesday, 12 July 2011

EU Debt and Bail-Outs: A Legal Avenue to Persue?

Our Parliament has just agreed giving an additional 9 Billion pounds to the IMF which more than likely will be channelled into extending the Eurozone crisis. Both EU Referendum and Subrosa have commented on this.

Right now, everyone knows that the countries in the worst positions will default. Certainly Greece will: its inevitable, because the austerity measures required by the IMF bail-outs on their own won't repay the money lent to them. So, there's going to be a default and everyone knows it.

So why then, would our Parliament approve giving away the money with little expectation of it being repaid?
If we are going to be repaid, how would the IMF do it? If Greece can't pay it, would the IMF have to increase the cost of loans to other countries like African or Asian ones ( the poorest in the world) to make up the shortfall? Does anyone think thats fair?

Finally my point: If there's no hope of the money being repaid, is there any legal process that can be invoked such as a judicial revue to stop the money being paid?

If a judicial revue is out of the question, is there any legal mechanism whereby those MPs that voted for the loan can be made liable for their portion of it?

If there is no way we can make these people immediately liable for their actions, then we have no democracy. It makes me feel sick that they can carry on borrowing money that my children and grandchildren will have to repay and give it away just like that, without any sanctions.

3 comments:

  1. By no means an expert but have heard of "Ultra Vires" whereby politicians can be held to account for public monies spent unwisely.
    Worth a look maybe?

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  2. It shouldn't have been given at all Del, sanctions or no sanctions.

    I'm beginning to think our politicians have lost their minds. It was common knowledge early on Monday that Greece would default, thus hitting us hardest.

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  3. I think a letter to David Willetts, my MP asking how the IMF will pay back this loan is in order.

    Its not right it should be gifted to a failing economy that has no hope of paying it back and if as I suspect other, poorer countries will share the burden, then that's not right either.

    ReplyDelete

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