So. Liberty Steel then

[Guy Profumo]

I thought banks were "too big to fail", so their assets are protected, as are the ones held by Liberty?


https://www.bbc.co.uk/news/business-56331655

[caja-dglh]

Banks were protected because they finance everything else and use everyone’s money to do so.

Liberty Steel wants to appeal to be a strategic UK asset on the basis of metal production in war may be a reason for the govt to keep it going, else they will close plants.

[Levin]

Hang on, is Greensill the bank that was giving loans to itself (or to entities belonging to its controlling parties)?

Edit: The BBC article says Liberty Steel is in danger because it's bank is in difficulties. But when you look at coverage of the bank, it's in danger because Liberty Steel et all are in difficulties.

[Ginger Yellow]

Edit: The BBC article says Liberty Steel is in danger because it's bank is in difficulties. But when you look at coverage of the bank, it's in danger because Liberty Steel et all are in difficulties.

As they say, if you owe the bank ?100, it's your problem, if you owe the bank ?100m, it's their problem. Adjusted for inflation, of course.

[Ginger Yellow]

Anyway, assuming you can still access it with free registration, I highly recommend going through FT Alphaville's archives on Greensill and Liberty/GFG. They've been digging into it for years.

[Ginger Yellow]

Greensill had a strict policy against financing trades between related parties, according to people familiar with the matter.

The sarcasm, it burns.

[ursus arctos]

https://twitter.com/pickardje/status/1378980080706322433

[Ginger Yellow]

Horse. Stable door.

[Ginger Yellow]

Apparently HRE never learns, even after it's been put into run-off.

[ursus arctos]

The more things change . . .

[Ginger Yellow]

Wyelands is no more.

[Ginger Yellow]

I do wish someone on the committee would ask Cameron why ex-prime ministers, or for that matter ministers, should be allowed to do lobbying at all. There's an awful lot of stuff about what he knew when, which seems to be missing the point.

[ursus arctos]

The problem always is that too many of them are terrified of imperiling their own opportunities

[Ginger Yellow]

Rushanara Ali did ask the question, to be fair. But she was the last questioner and the only one I heard put anything like that to him.

[ursus arctos]

https://twitter.com/uksfo/status/1393131050906308609

[Guy Profumo]

Talk about going off topic - started with references to how Liberty Steel would face problems if their bank went "phut", now IRL it's nearly all about Cameron

[Ginger Yellow]

Not really off topic given that he was testifying about his lobbying for the bank.

[ursus arctos]

Quite, the two issues are intimately related, as is the collapse of the CS funds

[Guy Profumo]

Yes .

That was the point of my thinly veiled barb

[ursus arctos]

Your ways will always remain a complete mystery to me

[Guy Profumo]

And, new to the party, the SFO launch an investment


https://www.theguardian.com/business...of-gupta-firms

[Ginger Yellow]

GFG and Greensill have now taken down an Italian bank, because of course they have.

[ursus arctos]

Damn, I had a municipality to fall first in the tombola

[Ginger Yellow]

Pretty much the same thing in Italy, no? Though in this case it was private equity owned after the regional bank had previously collapsed.

[ursus arctos]

There are definite "synergies", yes, but I was thinking of Milano and the other cities that got hammered on derivative trades they had zero understanding of.