MASSIVE Line Forms Outside of SF Silicon Valley Bank Branch

[schwartzie]

MASSIVE Line Forms Outside of San Francisco Silicon Valley Bank Branch as Bank Folds (VIDEO)

By Jim Hoft
Mar. 10, 2023 9:30 pm



A massive line formed outside the Silicon Valley Bank earlier today.



A massive line formed outside of a Silicon Valley Bank branch in San Francisco this morning.



The FDIC insures up to $250,000 per depositor, per FDIC-insured bank, per ownership category. If customers were holding more than that amount then they are at risk of losing anything over $250,000. According to earlier reports, 90% of SVB customers had more than $250,000 in the bank.



Customers also lined up in New York City.

The NYPD responded to a Silicon Valley Bank branch in Manhattan Friday morning after investors showed up to try to pull money out of their accounts.



Silicon Valley Bank on Friday was shut down by regulators in the biggest bank failure since the 2008 liquidity crisis with $173 billion in holdings.



The Fed interest rate is at 4.57% and $117 billion of Silicon Valley Bank securities are yielding only 1.56-1.66% – this is causing a run on the bank.



California regulators shut down the bank and the FDIC took over.

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[ExquisiteGerbil]

The Employees of Silicon Valley Bank Were Given Annual Bonuses Hours Before the Bank Was Taken Over by Regulators

By Joe Hoft
Mar. 11, 2023 9:00 pm

The employees of the failed Silicon Valley Bank were given their annual bonuses only hours before the bank failed and was taken over by regulators.



TGP reported on the failed Silicon Valley Bank on Friday. This bank is used by numerous startups and tech companies in Silicon Valley. It’s the largest bank to fail since Washington Mutual in 2008.



We learned that the top executives in the bank sold their stock weeks before the crash. This appears to be based on insider information and therefore illegal.


CNBC reported yesterday that hours before the bank failed, the bank paid its employees their annual bonuses:



Silicon Valley Bank employees received their annual bonuses Friday just hours before regulators seized the failing bank, according to people with knowledge of the payments.



The Santa Clara, California-based bank has historically paid employee bonuses on the second Friday of March, said the people, who declined to be identified speaking about the awards. The payments were for work done in 2022 and had been in process days before the bank’s collapse, the sources said.



These actions don’t appear to be ethical or legal. This is not good and these managerial decisions are an indication of why the bank might have gone under.

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[ExquisiteGerbil]

TOP EXECUTIVES with Silicon Valley Bank Sold Their Shares Weeks Before Crash – Investors Tried to Pull $42 Billion on Thursday before Bank Failed on Friday

By Jim Hoft
Mar. 11, 2023 2:18 pm




California regulators closed Silicon Valley Bank on Friday.



The FDIC was named receiver.

Via Market Watch:



Silicon Valley Bank has been closed by the California Department of Financial Protection and Innovation, and the Federal Deposit Insurance Corporation (FDIC) has been appointed receiver, becoming the first FDIC-backed institution to fail this year. The news comes amid a crisis at parent SVB Financial Group SIVB, , which lost a record 60% of its value on Thursday, after it disclosed large losses from securities sales and announced a dilutive stock offering along with a profit warning. The FDIC said all insured depositors will have full access to their accounts no later than Monday morning. Uninsured depositors will get a receivership certificate and may be entitled to dividends once the FDIC sells the bank’s assets.

The bank reportedly holds $173 billion in deposits.

The company provided funding to 44% of all venture capital-backed tech and healthcare companies that publicly listed on a stock exchange last year, according to its website.


The CEO of Silicon Valley Bank Gregory Becker sold $3.5 million in stock in the last two weeks!







He was not alone.



Top Silicon Valley Bank executives also sold shares before the big crash on Thursday and Friday.



* Gregory Becker, CEO, sold 11% on Feb 27, 2023.

* Michael Zucker, General Counsel, 19% on Feb 5.

* Daniel Beck, CFO, sold 32% on Feb 27.

* Michelle Draper, CMO, sold 25% on Feb 1.



These executives all sold shares a bit at a time.





Via Unnamed Whales.

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