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Politics is breaking the law, and even basic laws

“If the Euro fails, Europe fails” – says Chancellor Merkel, trying to win over the people: We have too much debt. Mrs. Merkel is trying to combat this debt with more debt. That this is no economic way of thinking is one thing, the other is: We already have a united Europe, as has been the case ever since the so-called Schengen Agreement.

Now, the question arises: What does Mrs. Merkel actually want? The Europe of which she continually speaks, and especially at the G20 Summit in Mexico, can only be a united Europe with a stable currency (Euro) if the principles for safeguarding the stability of the currency are also observed. These are: Observation of the Stability Pact (the so-called Maastricht Treaty), which was intended to ensure that there are limits to total and new borrowing, and that these limits are observed.

Unfortunately, none of the Euro debtor countries are sticking to these limits, and so it can only be regarded as a farce and a breach of law when the German Chancellor (and also all other governments since the introduction of the Euro, including Mr. Schroeder's cabinets) emphasises time and time again: Germany reject Euro-bonds. Instead she guarantees a stable Euro.

It is difficult, admittedly, to make sense of this gibberish, and perhaps these are the real Merkel tactics, or perhaps simply an indication of how little she has understood. Physicists are after all no business experts, and it is quite different skills which are more important for a political boss, such as keeping the troops together, defending the executive throne, working out tactics, and again and again scoring god marks in the weekend opinion surveys. The popularity of the Chancellor is of no importance at all, except to the Chancellor. So when Mrs. Merkel says that she guarantee a stable Euro, then she must have forgotten that this was supposed to be achieved by compliance with the stability criteria, and not simply by a few fine words. Mrs. Merkel cannot by any means guarantee a stable Euro, so that her words are a lie. She is thereby violating Art. 1 of the Constitution, and the dignity of the German people.

Although the question still arises of what the Europe envisaged by the Chancellor should look like, it should be noted: there are now two possibilities of preserving the Euro at all. Either 1. There must be an immediate currency reform (which the Alliance for Democracy has been calling for since 2006) or the Euro crashes, or 2. This reform takes place by means of creeping inflation. Both measures mean lower purchasing power, measured by the current status; 1. would result in a still manageable rate, the Euro would still be worth about half what it is today; 2. Would mean that the Euro would be worth less than half of its current value.

This can hardly be the Europe of which Mrs. Merkel has dreamed, and which she always speaks of, because this Europe would be a poor Europe, whose people will be fully occupied in paying the costs of the so-called rescue of the Euro through renunciation of prosperity, social support, education and reforms. The unemployed and recipients of social security would receive no more support; pensioners would be left with significantly less of their pension, even if appropriate rates were paid in relation to the amounts paid in.

By this time, Angela Merkel will hopefully be history; the stories accompanying the lunacy of the vision of Europe, will be sad ones. And then it will have to be recognised that it was megalomania that compelled European governments to preserve a Euro-Europe, instead of a Europe according to Schengen standards. It will have to be realised that with each passing year that they clung onto this illusion, more purchasing power dwindled away, and with it the hope for progress and advancement. It will have to be realised: The policy with the motto “If the Euro dies, Europe dies” is the cause of the actual downfall of Europe. The excess of eurocratic thinking, the organisation of eurocratic structures while maintaining ineffective economic fundamentals would mean that there will be no united Europe for a long time. This is a high price to which politics succumbed!

It would be futile to think about whether the Germans, like the Europeans, would have wanted to pay such a price. One thing is certain: nobody wants to forego an adequate income, education, social security, a minimum of state support in the event of unemployment, training for young people and care in the event of illness, support for pensioners and the elderly, and it was therefore part of the deception and falsehood of ambitious party-politicians always to promise ally promise always a land of milk and honey, even though it contained nothing but a poorhouse.

When this deception of the people of Europe is known, it will be clear to all that the entire European politics of recent years beyond the Schengen Agreement has only contributed to countries such as Greece, Portugal and Italy being able to conduct a clandestine reform of their currency with the Euro in order to reduce their national debt; and that Germany, which has also been trying to reduce its mountain of debt since the 1970’s, is now one of the countries whose citizens will have to be responsible for the debt obligations of their fellow European countries, with the overall result that the level of German debt has instead increased, and that the taxpayers are now responsible for the debts of other countries, in addition to their own. Apart from the fact that German budgets have for years been financed by loans, for which the taxpayer is liable.

All this is prohibited, because the statutes and regulations of the Euro Union forbid a country to support another country financially. Liabilities, just like loans, constitute prohibited state financing. In the supporting countries, such as Germany, higher interest costs are incurred for the people by means of higher national debt due to liabilities, than for the passing on of national loans to supported countries, for which the Germans are also liable. These liability debts burden the people with higher interest rates than if they were liable for borrowing of the state in the federal budgets. The only benefit goes to governing policy, in order to demonstrate less statistically detectable new debt and total debt (debt brake). Liabilities are therefore debts that are not stated in the national accounts. In this way, the requirements of the Fiscal Pact are seemingly fulfilled.

This is prohibited by the German Constitution, just as it prohibits the Euro-bonds so vehemently rejected by Mrs. Merkel. So the Chancellor states deliberately that these Euro-bonds will come only “over her dead body”, but they are nevertheless still being purchased (and with her consent) via the back door, like the so-called liabilities, guarantees or rescue packages, which should actually be called inflation packages. The EFSF and ESM have in the meantime given their constitutional blessing to these Euro-bonds (1st coup). Although the decision of the German Constitutional Court in the autumn of 2011 still lacks decisions in the main proceedings (due to the following three new constitutional complaint proceedings before this Court regarding the ESM), the next coup of the political class is now imminent, or in other words: The next lie or the next fraud will not be long in coming, and this time the State will be breaking the law.

The decisions announced by the Federal Constitutional Court on various urgent applications in connection with constitutional complaints from 12th June 2012, and on 12th September 2012, already constitute a breach of the law by their very nature, since the ESM was judged not to be unconstitutional, and was therefore recognised. The liability limitation in this respect is a concession of the Court to the plaintiffs, but this limit is particularly interesting above all because it can be circumvented. One part of this bypass route is the so-called Target-2 claims, which function like additional rescue packages, once again through the back door – unlimited, uncontrolled! These have existed since 2007, and they avoided the jurisdiction on the ESM, although they had already been submitted to the Court as constitutional complaints with urgent application at the time of the provisional decision. So rescue packages are nothing new, but are also unconstitutional, because even without the ESM, there are liabilities of € 750 billion Euros on the books. The Court should have recognised and taken this into account in its provisional decision. Since 12th September 2012 therefore, the Germans have stood surety not for € 190 billion, but in fact for € 940 billion (or nearly one trillion). This amount is further increased by possible Target-2 claims.

Moreover, a drastic increase in this amount has already been brought about by the two bank financial injections of the ECB within the Euro Union in the amount of € 490 billion and € 530 billion (up € 1.2 trillion). Of this amount, about € 270 billion is down to the German taxpayers. This is further compounded by the purchase of junk government bonds of supported countries of the EMU by the ECB, but also by other banks, which have already been made in large amounts, and have long since constituted yet another burden on the German taxpayer.

To this extent, the limitation by the Federal Constitutional Court is also a sham transaction.

The highly risky Target-2 claims of the Deutsche Bundesbank represent positive settlement payments for Germany in the central banking transactions within the countries of the European Monetary Union, which lead to claims of the ECB and its liability for forwarding the funds to the Deutsche Bundesbank, and from there in turn to claims of a highly risky nature by crisis countries, such as Portugal, Italy, Ireland, Greece or Spain. It must be assumed that they will in future have to be regarded as write-offs, because outside the rescue package liabilities there are further similar liabilities, so that these claims must be written off at least to the level of 90% – since the claims exist against supported and actually insolvent countries.

For Germany this has numerous consequences, as stated above, but the worst is: The mountain of debt (explicit and above all implicit debt) continues to grow, because the country must also consider the claims existing between banks, for example with regard to actually ailing government bonds within the banks, as having to be written off at a certain time. To this must be added the private debts. It is known that 6.6 million Germans are in debt to the tune of € 33,000 (average). If the numbers in debt are multiplied by the average amount of debt, this gives an amount corresponding to 30% of what the Bundesbank is writing off for Target-2 claims, or currently € 217.8 billion.

If state property is also considered, and it is recognised that this long since consists only of obscure assets such as unknown gold reserves, then it must be accepted: The entire state-owned assets consists of dubious claims of the Deutsche Bundesbank in the EMU payment transactions from claims against supported countries, many of which will have to be written off, and gold reserves whose actual value is unclear. The situation with regard to the other liabilities in relation to the assets, i.e. the ownership holdings of the Federal Government, constitute hardly anything worth mentioning.

If it is assumed that after a necessary currency reform, those in employment will no longer receive wages or salaries with the same purchasing power as before, it must also be taken into account that everything which is available, including property assets not secured by mortgages, these completely unclear national assets are not nearly enough to cover what German governments, and in particular Angela Merkel’s team (in such a short time), have accumulated in the way of debt (including liability).

Rather than addressing this deplorable situation with real, economically and mathematically relevant principles, the Government continues to dream of growth, blithely distributing credit-financed election promises, increasing the mountain of debt even more, and “saving” the country by combating debt with even more debt. And what is going wrong on the smaller scale with the national economy will be just as ineffective for the rescue of the Euro. We must realise: Ignorance of economic principles will not lead us out of the German debt crisis, not the debt crisis of the Euro Union.

The fundamental failing of the current policy is not new. Unfortunately the principle has prevailed since the founding of the Federal Republic of Germany, and it can be demonstrated for all governments, that none of them have ever succeeded in reducing the German national debt. And politics has now become so entangled in this debt that it has become completely incapable of action. The upcoming elections for the Bundestag in 2013 will be the next mountain of lies perpetrated on the people of this country – with the stated consequences.

The hopelessness of the situation is so severe, that it has now become completely irrelevant to which the party the future Chancellor belongs, and with which party they form a coalition. The debt allows no room for action, no gifts, no guarantees, no liabilities, and certainly not the assumption of actual payments, if they become due. Germany is bankrupt – Politics, if it continues to be conducted in the same way as previously, can therefore mean only one thing: evil machinations to preserve face, to preserve the party power, simply in order to gain time for party politics, business and the press. And during this time, the Euro will become worth less and less.

Concerning the target claims, Hans-Werner Sinn, head of Germany’s “ifo Institut für Wirtschaftsforschung” in Munich, offers some solutions in his book “The Target Trap”. He proposes to the Chancellor and her Euro rescue team that they should proceed in a similar way to the FED in the USA.

The most frustrating thing of all is: By 2007, the target balances in the Euro zone were largely settled. With the onset of the financial crisis and the associated tensions in the Interbank market, they began to diverge again. Sinn interprets the Target balances as loans, and calls for then to be settled - other economists (mostly with party-political affiliations) contradict him. Sinn believes that the Euro crisis countries, who have so far attempted to alleviate their financial problems by means of the payment system of the ECB, are a burden on the German taxpayer.

In July 2012, the Bundesbank had a positive Target balance of € 727 billion. The crisis countries of Greece, Ireland, Portugal, Spain and Cyprus on the other hand together had a negative balance by July 2012 of € 692. Due to the introduction of the Euro, according to Sinn, the interest rates in the crisis countries fell; (cheaper) loans meant that these crisis countries imported more and more – minus transactions for German companies , and mountains of debt were piled up, although these could be temporarily offset by the influx of capital from the private sector. At some point, this source of capital was exhausted; central banks started to print money. Now goods transactions are thrown together with capital transfers, prohibited under the Target claims as pure capital transfer, but considering the magnitude of the crisis, at least permissible to the extent that the printing of money became necessary in both cases, and if the capital transfers are maintained, investments will still be possible for private persons. It is nevertheless quite clear: Printing money is no way out of the crisis; the so-called return flow of money from Greece proclaimed by politics will never happen. Greece is insolvent ; the German taxpayers will be left to foot the bill for the bankruptcy.

On short: Sinn’s proposal can hardly be regarded as a solution to the problem, or rather problems. The flooding of the markets with money by the ECB and the Deutsche Bundesbank (including the ESM, even with liability limitation) burdens the German national budget. The USA has increased the money supply fourfold between 2000 and today; in the European Monetary Union, since the earlier purchase of junk government bonds by the ECB, already amounting to billions with the corresponding share of Germany, and now in conjunction with Target-2 and the ESM, and perhaps even further special funds, things are going in the same direction. Such increases in the money supply are unrecoverable, bringing the almost inevitable risk of inflation, and inflation may extend from the normal level, with a final upward trend to the point of hyperinflation.

The example of the USA as a model for Europe was always nonsense. The motto of the USA is “Out of many, one” or as the Americans say: “E pluribus unum”; the Europeans believe in the idea: “Concord in variety” or “In varietate concordia”. The question is: How should the Europeans develop a common identity? The eurocratic model of some eurocratic improvers of Europe, who would be better placed in psychiatric hospitals than in the Brussels Parliament or top posts of the EU Commission, because they make decisions without considering the people, following a ludicrous plan, which can hardly lead to a common nation (such as the Americans have), and not only because of the crisis; there is no common language, and the nationalities are already united in many ways in the individual countries.

The post-war children who are now in government should see that the idea of Europe currently cannot be realised above and beyond the extent of the Schengen Agreement. If politics could see this and immediately put a stop to all such measures, and currency reforms took place in all the individual member states, in order to restore Europe to a level which would be necessary to build instead a Europe which was more sensibly planned, and which considered and included the people, and above all did not have to struggle under the yoke of a currency which destroyed the competitiveness of countries. Any Europe rescue policy must therefore be terminated immediately. If we continue to try and rescue the Euro, the above lies and disputable legal discussions will be compounded by bending and breach of the law ranging from disloyalty, violation of oaths, nepotism, unfair advantage and high treason, now and in the future.

All members of the Federal Government and all members of the Bundestag and Bundesrat who have voted in favour of the ESM render themselves guilty from the moral perspective of high treason and violation of the liberal order of the Federal Republic of Germany. There are acting against democracy and in favour of the establishment of an absolutist financial dictatorship.

The argument of solidarity, which is often brought up by politics, is absolutely irrelevant, because this solidarity does not affect those who are lucky enough to have major assets and money.

The Public Prosecutor's Office will have to deal with charges of wilful disloyalty against all those who voted for the ESM, and will have to explain to the public why a debt-with-debt concept was preferred to any other alternative. Particularly because the Government is authorised to issue instructions to the Public Prosecutor’s Offices, and completely independent judicial investigation therefore cannot be guaranteed, and the entire high court system must be declared to be biased. The outcome of such a process would clarify whether or not we live in a completely illegitimate state.

On 13th November 2012, the “Süddeutsche Zeitung” (p. 15) amongst others reported on how the historian Joseph Foschepoth describes in his book “Die nie ganz souveräne Republik” how Chancellor Konrad Adenauer helped to set up Germany as a police state, almost with clan liability.

The SZ took up this issue on 14th November 2012 and explained in the article “Das ausspionierte Grundrecht” , how the Constitution of the Germans was betrayed to the Allies. Germany is therefore not a democratic state.

Foschepoth also comes to this conclusion, and summarises: The “handling of Art. 10 GG shows” how the FRG granted the Western Allies the right “to monitor the Germans as they saw fit”. Art. 10 guarantees the confidentiality of post and telecommunications, but as if it had never existed, the Grand Coalition in 1968 passed the G-10 Law.

Since then, German intelligence agencies were also able to become legally involved, and the number of those under surveillance increased from year to year. Now the German taxpayer was paying for the spying of the allies and for German institutions. This domestic spying has a tradition of over 60 years. And this in spite of all the treaties and also, although with the conclusion of the 2+4 Treaty in 1990 the Federal Republic celebrated not only the reunification of Germany, but also the return of full sovereignty. On reunification in 1990, a distortion of history took place: The GDR was declared an illegitimate state, which spied on its own people; The FRG was then regarded as a prime example of the rule of law, which could not be and cannot be the case. Foschepoth shows that German governments were extremely flexible in the interpretation of the concept of democracy, and disregarded enshrined fundamental rights.

And until today, the rule of law of the Federal Republic of Germany must still be in doubt. This crisis in particular has revealed that politics works towards only one goal: To maintain itself in power. This intention alone excludes all other alternatives intended and desired in a democracy. The enforced conformity of the politically relevant measures, due to improper decisions at the time of the Euro rescue, the enforced conformity of the reporting and the enforced conformity of judicial decisions indicate that Germany is well on the way to developing into the illegitimate state as the GDR was decried. The hopelessness of political action was one of the reasons that led to the collapse of the GDR, and today they are an indication of to what extent a democracy can degenerate; how quickly right can be turned into wrong, and democracy into dictatorship.

All confidence in the Chancellor has been lost; just as that in all future governments, as long as they fail to declare currency reform and bring order to the mafia-like nepotism in Germany, which serves to enrich the few, and condemn the rest to pay for extravagances, wrong decisions and lies.

It must be said:
The current Federal Republic of Germany, like the former German Democratic Republic, is an illegitimate state and it requires the creation of a Constitution which corresponds to a state in which real, direct democracy may exist.

So when Chancellor Merkel says “If the Euro fails, Europe fails”, then it must be assumed that she appears to have forgotten about the Euro madness, and the resulting obligations of the Germans, and is prepared to override, bend and even break applicable national law or national legal principles. It also shows how little the forced marriage of the peoples of Europe can succeed; because the national needs essential to become a well-knit unit are not being fulfilled, and finally also because the common currency has been mishandled and has developed into an incalculable risk, which also cannot lead to a community of Europe.
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Aurea mediocritas
The veneering process
They have lied to us
All scapegoats together
Double accounting
Tour de force
Testament of poverty
Disservice
€ 8 more
In honour of Helmut Kohl
People have no respect
Nonsense and insanity
Pensions are not safe
Serial Merkel
Bad, bad, bad
People are not ...
Kohl’s merits
Deliberate false statements
Outwardly fine, inwardly...
DDBRD!
Gabriel goes underground?
Kohl’s Ghost
Hopeless bankruptcy delay
Open for business
Outcry against the ESM
2nd Outcry against the ESM
Fiscal Pact
Government bonds
ESM
Germany is bankrupt
Loss of democracy
Deception of investors
Merkel Referendum
The election in NRW
Ongoing election campaign
The aberrations of E. Pols
Speaking ban
Criminal complaints
Fear of publicity
Top experts
Real, direct democracy
Get rid of German President
Back-door politics
Competition for the office
Angela's wrinkles
Vultures gather
2011- System correction
Rating Agency Foundation
Contact men
Leading politicians
Transfer union
Membership fees
Referendum S21
Business–Banks–Politics
Misplaced doctors
State Trojan horses
Petitions ignored
The lever effect
Bonds by the ECB
Member states
No access
Political lobbyism
Conditions like in the East
Transparency
Sponsorship funds
Development aid
The transfer procedure
GER is doing itself away
Rescue packages
Supercrash in USA and EU
The 'Soli'-Lie
Vladimir Putin
A plea for direct democracy
Distrust of the Chancellor
More control
Flight of capital
Euro summit
It's war
The C in CDU and CSU
Deceit and lies
Germany getting screwed
Investments in countries
The illusion of a ...
General statements
Democracy-...-Dictatorship
GER-insurance society
Debt brake
Costs of members
Deceit and lies
Retirement provision
Medal of Freedom
Euro-thugs / Polit-thugs
We are the people
Security authorities
National debt and ...
Apology from the bankers
The Merkel Adventure
Party Competences
Chancellor
The East-Mark, ... ,Euro
Sister Merkel
Ruck-Rede & Oath of Office
The casino operation
Rescue Reactor
Euro rescue
Japan
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