All developers in default on their loans should be required to sign an affidavit listing all their assets at home and abroad. Evidence of all expenditure actually spent on developments should be required and matched to loans. Cross collateralization re personal guarantees and other assets should be punishable by jail. Bank staff plus solicitors who did not do the title deeds cross checking if found at fault should lose their jobs plus jail for developers who pulled this trick.
Let all the documents be published online on the bread crumb trail above for the billion euro loans. Transparency, openness, accountability instead of hide and seek bailouts to hide financial fraud is needed to stop the rot.
We should ask Japan what they could have done better to manage their stagnation over the last few years. If there was a future graph to be drawn for Europes developed economies currently I would say it would be following Japans trend over the last decade. Japan has also found out many cases of high level collusion and we could certainly do with stronger laws in Ireland to prevent collusion.
Also we should follow Signapores example on housing. They have 85% of people in ’social housing’ and 90% of those own their house. Signapores GDP ranks among the highest in the world, so why the snobbery in Ireland about social housing?
Shelter is a human right. Recently the banks and developers colluded to make incredible profits from what should be a basic human right. A special agency should set up to administer the large number of empty properties to the young people of Ireland in a model similar to Signapore.
On another note the bailing out of Anglo Irish is just funny. All you can do is laugh at the fact future generations will be slaving away paying for that. Basically one day we heard the news, the goverment had Nationialised Anglo Irish. No debate, no consulation with the people on what was the biggest decisions of the crisis. I then from my limited experience could tell on the day it was a big mistake, basically because Anglo had very little deposits from the normal Joe and had speculated wildly in property whose price was only going to fall. Then I was not talking with the clarity of hindsght but rather the simplicity of common sense. Brian Cowen said Anglo was nationailised to prevent a run on the other banks, however many over reaching banks were allowed to fail in the States. I’m sure another way could have been found. Who are advising the government and what have they got to lose/gain from the situation.
Unfortunately our Government is part of the rot, so can’t come up with any bright suggestions as it is a stakeholder in returning us to the scams of the past through a policy based on reignition of the housing bubble via NAMA. Agree with all your points re Anglo but would like to add the following: its become apparent through illegal director loans, €8bn share price manipulation of Anglo shares through AIB/BOI scam, the desperate Quinn saga, incomplete record keeping, asset verification, that clearly Anglo was a financial fraud. What should have happened was immediate shut down of Anglo, a calling in of the CAB, and not one penny of taxpayers money spent in support of Anglo. Clearly €22 bn of taxpayers money with a few cosmetic staff changes is a perpetuation of the fraud of Anglo on the Irish people by FF. At best we’re being currently governed by a shower of incompetent gombeens, at worst by a gang of fraudsters, who can only make this recession worse.