It was suggested by the Bank of England that should an important bank not be able to meet its derivative demands because it has a losing position, that claims on that bank be suspended -- that entities wouldn’t be allowed to make a claim on those derivative losses.
It’s like being in a fantasy land. You lose money, but you are not allowed to claim from the guy because he could go down. Of course I know the reason they don’t want anybody to go down: Ever since Lehman Brothers they’ve abandoned the word ‘liquidation’ because they saw what a liquidation could do."
- Source, Eric Sprott via King World News, read more here:
