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SMT Member
18th Oct 2018, 19:53
CumEx is, basically, tax fraud committed by investment bankers, who overwhelming come from the City of London.

In more details, CumEx is/was a scheme to claim tax refund multiple times from the same stocks.

If you're a foreign investor in certain European markets, you may be eligible to seek reimbursement of taxes paid on stock dividends in the host country. So if you've e.g. invested in Danish stocks, and they pay a dividend, the Danish tax authorities will automatically deduct the taxes owed on the dividend before paying the rest to the stock holder. Due to double-taxation rules, the owner of the shares may seek to have the tax reimbursed, provided he can prove taxes have been paid on the dividend in their own country. So far, so good.

CumEx was a scheme devised by bankers in the City of London, whereby they exchanged shares multiple times between different owners (usually pension funds) around the time dividend was due. They then claimed tax reimbursement an equal multiple of times, even though the alleged owners never paid dividend tax in their home countries, as they had never actually owned the shares other than on falsified paper. It is estimated this scheme has yielded around 40BN USD in wrongful reimbursements, from countries including Denmark, Germany, Netherlands, Belgium, France, Norway, Italy and Austria.

The former director of taxes (titel probably wrong, you get the idea) of german bank Hypo-Vereinsbank tells a story of how his bank, having suffered difficulties, were taken over by extremely aggressive traders from the City and New York, in an effort to restore profitability. In his words, they brought along a highly toxic and utterly unscrupulous culture, where CumEx trading was the focal point. He tells who his bank went from a respected institution of high ethics, to one where making money at all cost was the only objective. He is very firm in his convictions, that the toxic US/UK banking culture was well on its way to destroying Europe, run as it is by young men with no attachments and absolute zero sense of social responsibilities. He says 'was', simply because Brexit will effectively put and end to City's influence on EU banking.

Read more here: https://cumex-files.com/en/

Having followed this story unfold, I cannot wait for the day Brexit is a fact and The City will be forced to significantly reduce its footprint in, and adverse impact on, continental Europe. What really stands out, is that these banksters have learned absolutely sod-all from the financial crash they induced in 2008/09, and will happily see the world burn as long as they get ever richer.

What the EU needs are a total rethink of banking, starting by unbundling the present constructions and taking large banks down one by one and regulating the living daylights out of those who remain. Frankly, getting rich by driving a spreadsheet and defrauding customers, companies and societies is something we should be able to easily live without. Hell, it's almost enough to drive one to socialism, if it wasn't for the fact it'll end up being even worse.

But first, we need to get rid of the banksters. Up against the wall or off with their heads, I'm easy, but killed dead they must be.

racedo
18th Oct 2018, 22:23
Very interesting.....

Some people may find that their ripping off of European Tax coming to an end but also that these countries want their money back.

Somehow I doubt they will be negotiating either as it is a direct threat to the state therefore the state will deal with it as it see's fit............ economic terrorism gets same treatment as conventional terrorism.

SMT Member
19th Oct 2018, 04:35
Consensus my neck of the woods is, that even as the authorities goes after the individuals who ran these CumEx and Cum-Cum schemes, they are also going after the banks, pension funds and trading houses who employed them to get their money back. Which means, in plain English, that the banks may find themselves having to pay back the 55BN Euro they stole from the tax authorities. In cases such as these, the fines are likely to be equal to the money stolen, which will see the banks having to pay back 100+BN. I'd love to see that, but not as much as I'd love to see senior management from these banks striped of their personal assets, barred from ever running as much as a fruit stand and put behind bars for a very, very long time. That's the only thing these thieves are afraid of.

Krystal n chips
19th Oct 2018, 06:53
Consensus my neck of the woods is, that even as the authorities goes after the individuals who ran these CumEx and Cum-Cum schemes, they are also going after the banks, pension funds and trading houses who employed them to get their money back. Which means, in plain English, that the banks may find themselves having to pay back the 55BN Euro they stole from the tax authorities. In cases such as these, the fines are likely to be equal to the money stolen, which will see the banks having to pay back 100+BN. I'd love to see that, but not as much as I'd love to see senior management from these banks striped of their personal assets, barred from ever running as much as a fruit stand and put behind bars for a very, very long time. That's the only thing these thieves are afraid of.

Couldn't agree more, however, should they eventually become incarcerated, based on the last time one poor misunderstood soul was here in the UK, expect a series of "sudden deterioration in health " conditions to arise but, if released on compassionate grounds, lo and behold, a miraculous cure hitherto unknown to medical science to ensue.

You often wondered about the possibility of Ernest donating his body for medical research........

LowNSlow
19th Oct 2018, 23:33
SMT Member I don't think you can lay the whole blame on the UK based on one person crying foul.....
More correctly it should be blamed on a German screwing the German tax system using a system that was signed up to by such small businesses as BMW and Adidas....
http://www.occrp.org/en/27-ccwatch/cc-watch-briefs/8772-cumex-files-european-taxpayers-cheated-out-of-55-billion
http://www.dacbeachcroft.com/en/articles/2017/february/cum-ex-trading-scandal-in-germany-a-huge-challenge-for-financial-institutions-and-the-insurance-industry/
http://www.bloomberg.com/news/articles/2018-05-22/london-bankers-charged-by-german-prosecutors-in-cum-ex-tax-case

SMT Member
20th Oct 2018, 06:58
SMT Member I don't think you can lay the whole blame on the UK based on one person crying foul.....
More correctly it should be blamed on a German screwing the German tax system using a system that was signed up to by such small businesses as BMW and Adidas....
http://www.occrp.org/en/27-ccwatch/cc-watch-briefs/8772-cumex-files-european-taxpayers-cheated-out-of-55-billion
http://www.dacbeachcroft.com/en/articles/2017/february/cum-ex-trading-scandal-in-germany-a-huge-challenge-for-financial-institutions-and-the-insurance-industry/
http://www.bloomberg.com/news/articles/2018-05-22/london-bankers-charged-by-german-prosecutors-in-cum-ex-tax-case

You're quite right, the inventor was a German. However, the scheme was 'industrialised' by the City and involves large banks such as JP Morgan, Deutsche Bank, Merrill Lynch, RBS, Barcleys and pensionfunds such as Macquarie, all orchestrated out of their City branches by selfish, greedy, banksters.

There's a telling quote in the article I linked, where senior management in a bank said 'this will result in fewer kindergartens in Germany, if you're not ok with that better leave now'. Nobody left; there was money to be made. And those banksters were all young, unattached, males who couldn't give a shyte about 'ordinary' people and their kids.

LowNSlow
20th Oct 2018, 08:32
SMT Member, having read the complete article I think the word “vermin” sums up the people involved in cum-ex and it’s variants perfectly.

I appreciate the input of British financial people and banks in this scam but, having had family members work for some of the US major banks, I still feel that the UK doesn’t have exclusivity in breeding vermin in suits!

racedo
20th Oct 2018, 11:08
SMT Member, having read the complete article I think the word “vermin” sums up the people involved in cum-ex and it’s variants perfectly.

I appreciate the input of British financial people and banks in this scam but, having had family members work for some of the US major banks, I still feel that the UK doesn’t have exclusivity in breeding vermin in suits!

City of London has and will remain Money Laundering capital of the world....................... not even NY can get close.

ShotOne
23rd Oct 2018, 07:34
Full marks in managing to conflate this issue with the Brexit debate!🙄

Blacksheep
23rd Oct 2018, 12:45
Once upon a time, banks were tightly regulated. Lending was subject to credit restrictions that were loosened or tightened as seen necessary by the BoE as they controlled the money supply. Capital ratios were set in single figures. Pension funds were mostly Mutual Trusts. With the supply of mortgage money and allowable lending ratios under tight reins, house prices remained within reach of young couples.

And Bankers were regarded as honest, trustworthy and prudent.

racedo
23rd Oct 2018, 13:36
Once upon a time, banks were tightly regulated. Lending was subject to credit restrictions that were loosened or tightened as seen necessary by the BoE as they controlled the money supply. Capital ratios were set in single figures. Pension funds were mostly Mutual Trusts. With the supply of mortgage money and allowable lending ratios under tight reins, house prices remained within reach of young couples.

And Bankers were regarded as honest, trustworthy and prudent.

Nope

Just they had a better PR Dept and Old Boys network would ensure someone asking too many questions started to have issues at their bank or mortgage provider.

ShotOne
23rd Oct 2018, 15:45
Spot on Racedo 👍

still trying to to work out how a US manager at a German bank conniving with European companies in Germany is all our fault

SMT Member
24th Oct 2018, 16:34
Spot on Racedo ��

still trying to to work out how a US manager at a German bank conniving with European companies in Germany is all our fault



Not your fault, unless you're a bankster in the City.

I'd like to make it clear, the accusations levied against the City and it's alleged moral bankruptcy doesn't come from me, but from the former 'head of taxes' at a large German bank, which was taken over by people from London and NY.

To illustrate that, here's a graphic displaying where some of the money defrauded from Denmark went. Currency used is DKK. It's roughly 1/4 of the total sum, and illustrates only what we know for certain today. Nearly all of the transactions making the fraud possible, was made by banks either based or branched in London.

http://i65.tinypic.com/156x09j.png

Which does seem to support the argument, there's a much larger confluence of banksters in the City than anywhere else in Europe. Please note, all the money which ended up in Dubai came out of London based banksters.