"Commissars from Brussels and the IMF will be installed in the Greek finance ministry to run the country’s economy. The Greek parliament has been ordered to amend the country’s constitution to impose a statutory obligation on the government to give debt-servicing payments priority over all other public spending." This euro deal is a recipe for revolution - Telegraph
Quite a feat realy; The Torygraph and The Gruniad agreeing!
You seem fixed on trying to make the Greeks pay their debts. What if they can't? This seems to be the most likely case. Sure they are guilty of some dodgy financial practices, so are most countries and EU certainly knew about these practices. The thing that scares the EU is IF Greece does return to the drachma firstly the debts repayments are completely gone for the forseeable future so banks and so on take losses on their Greek debts. Secondly if one country leaves there is a risk of 'cantagion' and money may flood out of Portugual, Spain etc in the same way; thus the talk of 'firewalls' to prop them up. Thirdly, in the longer term, perhaps if Greece does an Argentina and flourishes after brief recession other countries facing the 'austerity method' may think 'hey look at Greece, why don't we do the same?'.
Democraticly Greece would benefit from a return to the drachma, even if it has to leave the EU. Arguably it's recession may end sooner also. If it returns to the drachma then the debts can still be repayed though on a different time scale while at present nobody believes it can lower its debt ratio to 120% of GDP by 2020 and this means the debts won't get payed on the time scale envisioned so not much difference there. The real losers if Greece returns to the drachma is the Eurocrats, who would have financial trouble propping up the other countries first and see their grand super state project poked in the eye by a midget.