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Ukraine (((Oligarchs))) Strip the Cupboard Bare

Ukraine leaders urged calm after nationalization of PrivatBank. PHOTO: Alexander Khudoteply/AFP

Ukraine and its people have a severe Jewish oligarch problem. It was manifested on Dec. 19, when Ukrainians awoke to learn the country’s largest bank, PrivatBank, had just been nationalized after its two (((owners))) used depositors’ money to build a business empire and distributed the money among Jewish organisations in Europe. Coverage on this is non-existent in the West.

PrivatBank used to be Ukraine’s largest bank with 20% of the sector and $53 billion in assets. Now, the National Bank of Ukraine indicates it has a capital shortage of around $5.65 billion. The abuse and criminality involved is mind boggling

The “bad loans” share of PrivatBank’s portfolio was assessed at 97% by the “regulator” and at 80% by market participants. Some 97% of PrivateBank corporate loans had gone to companies linked to its two owners and principal shareholders, Gennady Bogolubov and Igor Kolomoisky. Loans to ordinary citizens and small companies was almost non-existent.

Surprisingly, the bank’s main stakeholder, (((Ihor Kolomoyskyi))), the second richest person in Ukraine, did not raise any objections. Kolomomoyski was once the governor of the Dnipropetrovsk Oblast but had left the country. He is well known for his dealings. The French corporation Swissport accused Kolomoysky of illegal confiscation of its majority stake in its Ukraine subsidiary. Also, Crimea authorities accused Kolomoyskyi of plundering the deposits of 200,000 Crimeans.

Ihor Kolomoysky and Gennady Bogolubov are a driving financial force of the European Jewish community. The former is the founding father of the European Jewish parliament, and the latter bragged at the international conference of Shluchim about his donations worth millions of euros to the Jewish community — and he even pleaded for more money from the audience in the video below.

The oligarchs ran an import scam that illegally transferred $2 billion abroad during the past two years alone. Ukraine President Petro Poroshenko doesn’t seem to want to prosecute the bank’s infamous owners. In fact, just one day after PrivatBank was nationalized, his losses were compensated for by an amendment to the tax code. The amendment reduces oil-field operation charges by almost half. Kolomoyskyi still holds large stake in Ukraine’s oil industry.

Politicians in Ukraine, like Poroshenko, depend on the Kolomoyskyi Media Group for reelection. The only losers in the deal are already impoverished Ukrainians, who will be looted to pay for the bank’s problems through bailout financing from the National Bank of Ukraine.

To put the $5.5 billion rescue program in perspective, the whole foreign exchange reserves of Ukraine stands at around $16-$24 billion. Consequently, two Jewish Ukrainian oligarchs managed to drain, or steal, a third of the total of Ukraine’s foreign exchange reserve, making the country extremely vulnerable to speculative attacks.

Ukrainian (((international supporters))) demanded the nationalization of PrivatBank. The state’s decision has been positively received by the IMF, G7 and European Union. Of course, these usual suspects have more debt with which to carry out the latest scam. Ukraine’s history suggests that after nationalization, the bank will probably be sold on the cheap to the same wash-rinse-repeat, privatize-gains/nationalize-losses oligarchs. What other purpose do nations have for (((them)))?

Kolomoyskyi, on his end, is using an extortion technique to keep his other Ukrainian assets intact. He has committed to a three-year plan to repay $5.3 billion in shady insider loans to cover the PrivatBank losses. Given the history of Kolomoiskyi’s shifting financial obligations to the state, his vast business holdings in airlines, media and oil, and his extensive political connections, many remain skeptical as to whether the oligarch will return the money and whether the power of the oligarchs will be contained.

According to Forbes, a number of the other (((insiders))) who got credit from PrivatBank —  including Natel, Zebrina and Palmira Trading — have already begun bankruptcy proceedings. PrivatBank’s depositors cannot withdraw foreign currencies. The huge recapitalization of PrivatBank will lead to a further devaluation of the hryvnia and increase inflation.

Yet the IMF allows President Poroshenko to keep Ukraine on the debt-slavery leash. The IMF is issuing a new $5.5 billion loan. Ukraine’s foreign debt will continue to climb. In reality, there is no counter to corruption, because all the (((usual suspects) at home and abroad are working over this poor, sad country and its people without any end in sight.

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