I wondered why Christine Lagarde's mug was in the background of the BBC report.
The IMF was in on this. No surprise really.
1. This affects all bank account holders. Seniors, who saved for old age. Everyone.
2. This deal/robbery was done in the middle of the night.
3. Bank account are electronically frozen, so account holders cannot transfer their money out (can only use ATMs for daily small withdrawals).
This, has now been done a first time. This, is the precedent. It's an "up-front" tax. While you sleep. Surprise! Surprise! By unelected IMF and EC Bank bureaucrats.
OK, IMF's Lagarde was involved in this. As for article below, most of the money is Cypriot money. Russians do have money in these accounts, but the point is to hit everyone in the middle of the night.
Europe Announces Stunning Bailout For Cyprus. Bank Depositors To Get Instant 10% Tax Before Banks Reopen This Week
Eurozone leaders and the IMF on Saturday announced an unprecedented levy on all deposits in Cypriot banks as the sting in the tail of a 10-billion-euro bailout for the near-bankrupt government in Nicosia.
Intended to apply to everyone from pensioners to Russian oligarchs alleged to have billions stashed away in what officials say is a bloated Cypriot banking sector, the "stability levy" immediately raised a flood of concerns among finance experts over a possible bank run in bigger eurozone economies, where fragile public finances are also under scrutiny.
Dutch Finance Minister Jeroen Dijsselbloem, after chairing some 10 hours of talks to strike the deal with counterparts including International Monetary Fund head Christine Lagarde and the European Central Bank's Mario Draghi, said the "upfront, one-off" tax is expected to raise 5.8 billion euros on top of the loans still to be finalised by eurozone parliaments.
The levy will see deposits of more than 100,000 euros in Cypriot banks hit with a 9.9 percent charge when lenders re-open their doors on Tuesday after a scheduled bank holiday on Monday. Under that threshold and the levy drops to 6.75 percent.
Top ECB official Joerg Assmussen said the only way to drive down what was originally requested as a 17-billion-euro rescue was to claw back money from the Cypriot banking sector, which is estimated to hold assets worth five times the country's economic output.
Cyprus Bailout Deal - Business Insider