Steve's barking the Cyprus banks must be crazy

The Cyprus banks or is it just the government of Cyprus that must be crazy.
Almost every country on the this planet want people to save money and put it in the bank.
That way the populous wouldn't be so dependent on the government.
Now I've just read that the Cyprus government is taxing money in the bank to payoff the loans from the IMF.
I was wondering, whats the purpose of the IMF in excepting this.
Is it to promote poverty?
To promote civil unrest?
To promote dictatorship?
To destabilize the Cyprus economy?

Is the IMF turning into a worthless organization?