An outstanding debt
From the
Christian Science Monitor:
540-year-old debt. Trillions owed. But will German village get repaid?
The sleepy hamlet of Mittenwalde in eastern Germany could become one of the richest towns in the world if Berlin were to repay it an outstanding debt that dates back to 1562.
A certificate of debt, found in a regional archive, attests that Mittenwalde lent Berlin 400 guilders on May 28 1562, to be repaid with six percent interest per year.
According to Radio Berlin Brandenburg (RBB), the debt would amount to 11,200 guilders today, which is roughly equivalent to 112 million euros ($136.79 million).
Adjusting for compound interest and inflation, the total debt now lies in the trillions, by RBB's estimates.
From town historian Vera Schmidt:
"In 1893 there was a debate in which the document was examined and the writing was determined to be authentic," Schmidt said.
Schmidt and Mittenwalde's Mayor Uwe Pfeiffer have tried to ask Berlin for their money back. Such requests have been made every 50 years or so since 1820 but always to no avail.
Reclaiming the debt would bring significant riches to Mittenwalde, a seat of power in the middle ages, which now has a population of just 8,800. Red brick fragments of medieval fortifications still dot the leafy town centre.
But of course, in that great workers paradise:
The debt-laden German capital would have difficulty meeting Mittenwalde's demands anyway. According to a report released by the senate finance administration in June 2012, Berlin is already close to 63 million euros in the red.
I know, they can implement another tax on the rich -- there; that solves everything!
Posted by DaveH at July 19, 2012 8:35 PM