Monday, 25 June 2012
How the Irish taxpayers are financing a hole in the ground in Chicago
I picked up this shocking story from the South of Dub blog:
The rubble-strewn Chicago lot where North America's tallest residential building was to have been built is turning into an international money pit.
Four years after construction stopped, leaving only a big foundation dug to support the planned 150-story Chicago Spire, an Irish government agency that subsequently bought the soured debt as part of the country's bank bailout still holds the loan on its books, according to people familiar with the property.
Now, Ireland's National Asset Management Agency, which took on the debt from the defunct Anglo Irish Bank Corp., is running up a big tab paying for property expenses that will be nearly $3 million by the end of this year. A Cook County judge in March approved the latest $1.2 million requested by a receiver, which will go for such expenses as insurance, back taxes and even the operations of a bathroom on a nearby bridge.
The Irish government starts by guaranteeing the unsecured bonds of Anglo-Irish Bank, ensuring that no one who invested in that wretched bank loses a penny. It ends with the Irish government, through is bank resolution agency, paying for the expenses related to a failed property scheme in the United States. And who is the loser here - the Irish tax payer.
Apparently, Jimmy Carr is Irish. I bet he would have found a way out of this financial mess. No more attempts at humor, Jimmy. Get over to Dublin. The old country needs your scamming skils.