Puerto Rico Deals Horrendous Blow to Wall Street — Suspends All Payments On Public Debt

According to the article they will suspend all payments until 2017. I post this as much for the article as the comments section which IMO had some interesting thoughts.

In a devastating blow to its megabank creditors, Puerto Rico’s Legislature approved a bill on Wednesday that suspended the US territory’s debt payments until at least January 2017.

Since 2000, Wall Street has conned the Puerto Rican government into a massive black hole of debt. After Puerto Rico handed them control of their federal bond sales, Wall Street executives tacked on hundreds of millions in fees for their “services,” greasing the skids for the island’s financial dismay.

Along with suspending debt payments, the legislation suspended payment on all general obligation bonds which happen to be guaranteed by the island’s constitution. As Bloomberg previously reported:

www.activistpost.com...

If they are allowed to declare bankruptcy this will set the stage for other states in the union whom are not doing so well to follow in their footsteps. If this occurs say goodbye to the US of A.

Could you imagine a huge group of states declaring we broke!

originally posted by: BooCrackers
If they are allowed to declare bankruptcy this will set the stage for other states in the union whom are not doing so well to follow in their footsteps. If this occurs say goodbye to the US of A.

Could you imagine a huge group of states declaring we broke!

And the sad fact is...... They really are broke when all the unfunded liabilities are factored in..

I believe all debt should be forgiven, all banks be vehicles of national gov't providing land and homes with no and low interest to all people, even those on assistant.

Morgages all forgiven.

Rothschild's and Rockerfellers and Soros's all put in jail.

Change this world.

Yep, because the government here will run out of money next month if they make the payments.
Literally, that means no cops, firefighters, health services, no schools no nothing.

Thing is our constitution says that debt payments comes before anything else, so the governor and the legislature approved this law essentially giving the governor 'emergency' powers to pay for services and not the debt, wich is unpayable under our current economic situation.

The opposition is already calling the governor a dictator and such, but what other option is there?
Things are really bad here at the moment.

a reply to: BooCrackers


Legally, the Commonwealth of PR cannot declare bankruptcy. We simply do not have the tools to deal with the economic crisis under our current political status.

The REAL collapse has begun.....buy gold. sliver, real assets guns and food or the means to produce it.....
And DUCK!

The bankers are jilted because PR is semi-Socialist.

Now what?

Now I hope the rest of the world grows a pair and fingers the same bankers....stuff yer debt you scoundrels and mountebanks....!

Florida will be alright.

We have a balanced budget amendment.

a reply to: BooCrackers

With all due respect we are in fact broke. 21 Trillion in National Debt and over 60 Trillion promised in benefits. I think The Old Donald planned on cancelling the debt which would not make the world happy. To bad as we're the top dog and and it will be easy to do.

a reply to: airforce47

There is a fund called the dollar stabilisation fund...that's topping out to more than the national debt....
Its a secret fund few realise would put America on an even keel if used to square up the debt....
Time to riot in the streets to get those arseholes to break out the dough.....
Imagine the lead a debt free America would have in the world...

a reply to: 727Sky

The symbiotic relationship of the U.S. and Puerto Rico should die a quick death.

Also, don't want to make payments? How about you get no funding, then?

Better yet, don't go into debt--that's how states and territories and nations should act, anyhow.

a reply to: 727Sky
Yea, I know. Alaska is the canary in the coal mine and they're riding the big suck. It almost makes me giddy.

Seriously though if no one has fled to Ecuador or Chile by now, then you are probably stuck and up for the offering when the string gets pulled from momma USA's vajay.

Twill be messy.....

a reply to: airforce47

Yes it would be easy, but banking cartels would likely react badly to it.....could ya blame them?

a reply to: 727Sky
thehill.com...


Ryan: Don't call Puerto Rico bill a 'bailout' .......OK then what is it when you interfere and give money to someone who does not know how to manage their own monetary/tax system ?

Nothing major really, they are trying to figure out what to do. I guess it is just more standby ....

a reply to: 727Sky

Following this (and related threads) very closely - thanks for sharing OP