Mega-Banks Plan for Collapse with Contingency Plans and Private Police Force

The biggest banks in the US have been given advisement by US regulators that they must make plans to stave off a complete financial collapse without relying on the US government. Bank of America, Goldman Sachs and other technocrats have secretly crafted worst-case scenarios in which they can continue to thrive during a full-blown domestic monetary crisis.

The Federal Reserve and the US Office of the Comptroller of the Currency (OCC) named Citigroup Inc., Morgan Stanley and JPMorgan Chase & Co. as well as others to devise “recovery plans” in 2010. Banks were directed to have schemes to remain afloat by selling off assets, finding alternative sources of funding, reducing risky measures that make a quick buck. These strategies were to be perfected with “no assumption of extraordinary support from the public sector.”

Resolution plans, required under the 2010 Dodd-Frank financial reform law describe how to liquidate banking assets without causing further damage to a failing financial system. By selling “non-core assets” without upsetting shareholders, while protecting the monetary system, taxpayers and creditors are the work of the mega-banks who have contributed solely to the destruction of the global financial markets.

The OCC constantly monitors the largest banks and evaluates their resolution plans to provide assurance to the US government that financial instability will not destroy the banking industry in America.

The details of the resolution plans are considered confidential. While the mega-banks wait to see if another round of banker bailouts will alleviate the pressure of the international interests, Bank of America and Citigroup are beginning to act as if they are implementing their resolution plans covertly. Read more......