In some cases, he says, partnerships are even putting up their shares to collateralize loans for private planes.

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In particular, the banks would demand to collateralize all of the assets.

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Similarly, Western central banks have made clear their desire to collateralize any short-term liquidity loans to Moscow with Soviet gold held in their vaults.

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Such an arrangement also lends itself to another, potentially even more troublesome form of abuse: the use of the same earmarked funds to collateralize loans from other Western institutions.

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