International investor Jim Rogers informs that if Deutsche Bank would ever fail, it would smash the world’s financial system.
He stated, “Either Deutsche Bank goes bankrupt, which is going to bring down the entire world financial system, or they are going to come up to some kind of compromise at a lower number, and if Deutsche Bank does fails, it would mean the end of the European Union (EU).”
Deutsche Bank has said it would fight a $14 billion petition from the U.S. Department of Justice.
“The main reason is that the US government is deep in debt. They’ve got a gigantic deficit, they are desperate for money. They’ll try to get it anywhere they can. I can’t imagine that Deutsche Bank should be liable for $14 billion,” Rogers stated.
The EU would split, because Germany would no longer be able to support it.
“And if Deutsche Bank has to fail that will be the end of it. In 1931, when one of the largest banks in Europe failed, it led to the Great Misery and ultimately WWII.
Jim told, “Germany has been rightly telling everybody not to bail out their banks, but if they have to suddenly bail out their banks, then other countries will be furious and the politicians will have a field day.”
Roger further added: “If you look at its balance sheet you will see it has huge, staggering debts both on balance sheet and off balance sheet, which means their debts that they don’t reveal directly.
“I’ve told you before: you should be very worried. The world is going to have a lot of problems the next couple of years. Be worried,” Roger warns.