Run On Bank, Florida, Dec 2007

Apparently... and this is through friends in the financial sector...

Someone who was heavily invested in mortgage securities got wind that his account was backed with sub prime loans. These securites were backing the government payroll of a small Florida county.

He told his $,$$$,$$$ buddies, similarly invested, he was pulling out... And then asked for his cash on the 4th of December.

And it wasn't there.

And it wasn't there for his buddies either.

And the banker man is saying no more than 15% withdrawal or $2m whichever is least. Because he doesn't have it and no one is willing to lend it.

here's a link to Joe Mysak at bloomberg

www.bloomberg.com...

Florida Just First to Face National Run on the Bank

If enough participants withdraw, the pools will have to sell some of that stuff that nobody can figure out what it's worth. You can bet that Wall Street, which packaged and sold the stuff in the first place, isn't going to offer 100 cents on the dollar for it.

Years from now it may be prudent to say the The Great Global Depression began in Florida, December of 2007.

'better get in line now for your January paycheck... You can't say I haven't warned you about that corporate job

Sri Oracle

www.bloomberg.com...

Florida Schools Struggle to Pay Teachers Amid Freeze

``The unthinkable and the unimaginable have just happened here in Florida,'' said Hal Wilson, chief financial officer of the Jefferson County school district, located 30 miles (48 kilometers) east of the state capital Tallahassee. ``What we just experienced here is a classic run-on-the bank meltdown.''

www.bloomberg.com...

Florida Halts Withdrawals From Local Investment Fund

``There is no liquidity out there, there are no bids'' for those securities, he said.

www.iht.com...

Florida fund faces losses

State officials have said that under existing law they are unable to guarantee repayment of the money local governments and schools invested

Sri Oracle