Liberal MP Tim Wilson has acknowledged the legal risk that deposits can be “bailed in” to recapitalise failing banks—contrary to his own government’s position. Wilson prefaced his acknowledgement, however, by expressing his doubt that the banks are in any trouble.
Every Australian concerned about bail-in should make a submission to the Senate Economics Legislation Committee by 10 July, demanding Parliament pass the Banking Amendment (Deposits) Bill 2020.
Make a submission to the Senate’s new bail-in inquiry and demand Parliament pass the amendment to guarantee our savings in bank deposits can’t be confiscated through a bail-in.
Australia’s banks were already precarious before the COVID-19 pandemic. Now they are in greater danger than ever from the uncertainties of how the economy will work as the government-funded hibernation comes to an end. Those uncertainties were rammed home today by the massive 1,800-point plunge in the US stock market.
Across Australia people are trying to pull their savings from banks. So far it is a slow, silent “run”, not enough to be a systemic threat with crowds gathering outside of bank branches. But it is accelerating.
Just in time for the financial crisis that is brewing in the global economy, One Nation Senator Malcolm Roberts introduced a bill on 27 February to stop the 2018 APRA crisis resolution/“bail-in” law from being used to seize Australians’ deposits.
