Corrupt ECB President Mario Draghi cries foul when accused of being responsible for Deutsche Bank’s problems

The primary reason former Goldman Sachs banker Mario Draghi became the President of the European Central Bank was because he could be trusted to not only aid and abet fraud and corruption with the European banking system, but had already proven himself capable of manufacturing financial fraud himself.  Many people forget that he was the head of Goldman Sachs international division when the bank hid Greek debt that allowed the Southern European country to be accepted into the European Union.

And just like the way he tried to downplay his involvement with Greece’s debt fraud during his interviews to become the next head of the ECB, Draghi is now trying to cry foul that his monetary policies of negative interest rates and bond buying have had nothing to do with institutions like Deutsche Bank teetering on the edge of collapse.

It is becoming very clear that the Deutsche Bank debacle is getting very serious. How do we know? Simple – everyone is denying everything. Overnight DB CEO Cryan denied any need to raise capital or need a bailout; this morning ECB’s Draghidenied low rates were responsible, and denied The IMF’s statement the bank is systemically important; and now IMF’s Lagarde isdenying any need for government intervention.

Mario Draghi said the financial industry must stop blaming the actions of central banks for their problems and focus on fixing internal management and risk failings.

“Many banks have problems that don’t have primarily to do with the low level of interest rates but possibly with other reasons,” the European Central Bank president said after a meeting with German lawmakers in Berlin on Wednesday.

He cited business models and risk management and said this was “generally acknowledged” by those at the talks. – Zerohedge

The fact of the matter is, nearly all the problems engulfing the global financial system today are due to the failed ‘experiments’ introduced and implemented by central banks before and after the 2008 financial crisis.  Historically low interest rates, including now negative interest rates that are tied to over $14 trillion in government and corporate bonds, have made it nearly impossible for banks to earn a return from both buying assets, and lending to borrowers, which then leaves these banks to simply buy and sell commercial paper and derivatives between themselves, and exploding the amount of debt to well over one quadrillion dollars.


Yes Mario Draghi, you along with Janet Yellen, Haruhiko Kuroda and the rest of the world’s central bankers are primarily to blame for the actions and results of Deutsche Bank, and nearly all the rest of the global financial institutions.  And as central bank credibility reaches an all-time low, so much so that they are being named as a villain in many political campaigns around the world, they can no longer evade the truth that they are the ones largely at fault for the previous and coming banking and financial collapses.

Kenneth Schortgen Jr is a writer for,, and To the Death Media, and hosts the popular web blog, The Daily Economist. Ken can also be heard Wednesday afternoons giving an weekly economic report on the Angel Clark radio show.