Lyndon LaRouche

June 17 (EIRNS) With the Greek Paliament's Debt Truth Commission having just found Greece's entire debt to the Troika to be "illegitimate and odious," EIR Founding Editor and economist Lyndon LaRouche today called attention to the "overall picture on euro debt."

"You cannot sustain the euro system, it is intrinsically bankrupt," LaRouche said. "If you base a 'debt deal' on that system-any 'debt deal,' that deal will fail. The fraud of what Wall Street and London banks are calling 'their debt assets,' has to be eliminated, because populations-not only the Greeks-are being beaten down by worthless claims. Cancel those claims.

"Relieve the nations of the claims of this speculation, these 'investments' in gambling bets, and an opening is created for internal economic development of European nations and the United States.

"The solution is an international policy of Glass-Steagall banking; agreements among these nations to implement Glass-Steagall principles. "Most important by far:" LaRouche said, "Restore the Glass-Steagall Act to force in the United States. That is the driver for this whole effort. That opens up the issuance of national credit for productivity and development."

In an analysis released in late February of this year, LaRouche had already referred to the entirety of what is called "Greek debt" by the euro institutions and the IMF, as a giant swindle, consisting of massive transfer payments from European taxpayers to bankrupt megabanks.

The finding of the Greek Parliamentary Commission sustains that, provides a firm foundation for the Greek government's position, and will also encourage many forces in other falsely overindebted European countries such as Ireland, Spain, Italy, Portugal, and others.

The Debt Truth Commission finds: "All the evidence we present in this report shows that Greece not only does not have the ability to pay this debt, but also should not pay this debt, first and foremost because the debt emerging from the Troika's arrangements is a direct infringement on the fundamental human rights of the residents of Greece. Hence, we came to the conclusion that Greece should not pay this debt because it is illegal, illegitimate, and odious."

LaRouche also addressed the campaign by forces behind German Finance Minister Wolfgang Schäuble, to force Greece out of the euro system."Again, the euro system is bankrupt," LaRouche said. "If Greece goes out, goes back to the drachma, the negotiated value of the drachma can be increased significantly, and problems solved. It is not correct to say that the drachma must collapse in value against the euro.

"The pressure on Greece is coming from the London-Wall Street banking system, and the claims of that system are worthless. Its speculation on unpayable debt has to be cancelled.

"The euro will be falling because of its bankruptcy; the value of the drachma against the euro can be maintained, and may go up. "Again, the critical action is Glass-Steagall in the United States, and force it in European countries.

"With that, the United States and Europe can generate national credit institutions, linked to the BRICS' new international development banks, and issue a surge of credit for productive employment.

"The Greek Parliament has thus done a service to the future, if we take the right actions now," LaRouche concluded.

COLLAPSING WESTERN FINANCIAL SYSTEM

Hellenic Parliament Debt Truth Commission: All the Troika Debt Is Illegitimate June 17 (EIRNS)-The Debt Truth Commission of the Greek Parliament today issued a preliminary, but extremely important, report on the more than €240 billion debts which the European "Troika" institutions-the European Commission, European Central Bank, and IMF-claim against Greece. After extensive hearings and examination of evidence, the Commission found all of this claimed debt to be illegitimate, and that it should not be paid.

The findings strengthen the Greek government's position against these same institutions' demands for new, and suicidal, economic austerity measures against the Greek population. Furthermore they confirm the analysis published by EIR on behalf of Founding Editor Lyndon LaRouche in late February of this year, which found that the so-called "bailout debt" of Greece was a huge swindle, transferring European taxpayers' funds, via Greek government accounts, to bankrupt megabanks in London and Europe.

The Debt Truth Commission's report says, in part:

"All the evidence we present in this report shows that Greece not only does not have the ability to pay this debt, but also should not pay this debt first and foremost because the debt emerging from the Troika's arrangements is a direct infringement on the fundamental human rights of the residents of Greece. Hence, we came to the conclusion that Greece should not pay this debt because it is illegal, illegitimate, and odious.

"It has also come to the understanding of the Committee that the unsustainability of the Greek public debt was evident from the outset to the international creditors, the Greek authorities, and the corporate media. Yet, the Greek authorities, together with some other governments in the EU, conspired against the restructuring of public debt in 2010 in order to protect financial institutions. The corporate media hid the truth from the public by depicting a situation in which the bailout was argued to benefit Greece, whilst spinning a narrative intended to portray the population as deservers of their own wrongdoings."

Political forces in other superindebted countries in the Eurozone will also be affected by these findings.

Tsipras Is Ready To 'Say the Big No'

June 17 (EIRNS)-Greek Prime Minister Alexis Tsipras today declared that Greece is prepared to "say the big no" if the so-called creditors continue to make unacceptable demands.

In a speech to parliament, Tsipras said: "I'm certain future historians will recognize that little Greece, with its little power, is today fighting a battle beyond its capacity not just on its own behalf but on behalf of the people of Europe."

Following a meeting with Austrian Chancellor Werner Faymann, Tsipras said the institutions' insistence on increasing revenues from pension cuts is incomprehensible; the Greek government has a specific mandate to reach a sustainable agreement. Tsipras added that he is not contemplating new elections and that it will be the government and the parliament that will take the decision. "If we do not have an honorable compromise, we will once again say the big no," he stressed, reported Athens-Macedonian New Agency (ANA-MPA).

On June 16, in his address to before the Syriza faction MPs, Tsipras laid out three conditions for a settlement. This includes debt relief, no burdening of pensioners and workers, and an end to any discussion about Greece leaving the Eurozone, the "Grexit." He attacked the International Monetary Fund and the EU, saying, "Right now, what dominates is the IMF's harsh views on tough measures, and Europe's insistence on denying any discussion over debt sustainability," Tsipras said, and charged that the IMF bore "criminal responsibility" for the impact of the austerity measures Greece.

Greek Production Reconstruction, Environment and Energy Minister Panagiotis Lafazanis blamed Greece's creditors and institutions yesterday for the lack of an agreement in the ongoing negotiations. "The responsibility for the fact that we don't have a deal rests solely on the creditors and the institutions that are not negotiating with the government but are demanding unconditional subordination," he said. "The government has clarified that Greece is not a protectorate nor a banana republic, nor willing to subscribe to the extermination of the Greek people. We've made proposals for a deal which is absolutely compatible with our program, which can lift the country on its feet and provide a positive exit from the crisis."

U.S. Treasury Secretary Jack Lew spoke by telephone with Tsipras last night, and recommended that he make a "pragmatic compromise."

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larouchepac.com: https://larouchepac.com/20150618/dump-londons-phony-debts-glass-steagall-euro-bankrupt-not-drachma