If orderly treatment of unsecured senior creditors requires a new cross border regime to close down insolvent European banks, such a regime should be implemented without delay.

In their case, a resolution authority, in London or Washington, would take control of the parent company, remove senior management, and apportion losses to shareholders and unsecured creditors.

Judgement creditors

Statutory (preferential) creditors

Creditors in insolvency proceedings

Member countries are now divided into two classes creditors and debtors with the creditors in charge.

WBS (Whole Business Securitization) arrangements first appeared in the United Kingdom in the 1990s, and became common in various Commonwealth legal systems where senior creditors of an insolvent business effectively gain the right to control the company.

Sovereign debt restructurings with private creditors

As a result, the eurozone has become divided into creditors and debtors, with the creditors in charge of economic policy.

Even former creditors benefited from this rebound.

Bailing in creditors will exacerbate these trends.

Inflation would clearly make creditors worse off.

Creditors can agree to relax Greece s fiscal targets.

Turnover among senior and not so senior people in these agencies is very high.

The euro crisis is now turning the EU into something fundamentally different, dividing member countries into two classes creditors and debtors with the creditors in charge.

Because healthy competition among all potential creditors is an effective way of reducing the cost of credit, the Guide recommends that the secured transactions regime apply equally to various creditors, including banks and other financial institutions, as well as domestic and non domestic creditors.

When push comes to shove, domestic politics trumps foreign creditors.

Price inflation forces creditors to accept repayment in debased currency.

The banks creditors or governments ultimately would bear any losses.

Creditors obviously support bailing out debtor countries to protect themselves.

Creditors of a corporation cannot recover debts from a shareholder.

C. Senior Management Network

A. Senior Management Service

Senior Adviser (D 1)

C. Senior Review Group

Senior Administrative Personnel Officer

Senior External Relations Adviser

They depended much less on foreign creditors than on domestic lenders.

For both borrowers and creditors, the risks and costs are enormous.

Greece, too, is a victim of its creditors misconceptions and taboos.

Too many creditors were reimbursed at par on their maturing claims.

This limits losses to stockholders and completely protects almost all creditors.

Table 3 Recent sovereign debt restructurings with private creditors main features

Senior Humanitarian and Development Officer

Senior Radio Technician (FS 5)

Senior Radio Operator (FS 5)

Financial disclosure by senior officials

Even in those states where creditors have the legal authority to take other assets or wage income, the personal bankruptcy laws are so restrictive that creditors don t bother to try.

The more Argentina grew, the more it paid to its former creditors.

But creditors don t have an incentive to place tough limits on banks.

Yet this process leaves the rights of creditors undefended, eliciting widespread criticism.

The strategy worked Argentina has avoided making any payments to its creditors.

The recent experiences of debt restructurings with private creditors are very diverse.

Selection and appointment of senior officials

Improving the performance of senior management