Federal Reserve blocked mention of regulatory flaws in Silicon Valley Bank rescue
https://www.siliconvalley.com/2023/03/17/fed-blocked-mention-of-regulatory-flaws-in-silicon-valley-bank-rescue/
WASHINGTON — As U.S. regulators prepared to announce an extraordinary government rescue of depositors at Silicon Valley Bank and Signature Bank on Sunday, officials from the Biden administration pushed to formally spotlight shortcomings in financial regulation that they blamed for the banks’ rapid descent to insolvency, according to several people involved in or close to the discussions.
But Jerome Powell, chair of the Federal Reserve, blocked efforts to include a phrase mentioning regulatory failures in the joint statement released early Sunday evening by the Fed, the Treasury Department and the Federal Deposit Insurance Corp.
Federal Reserve blocked mention of regulatory flaws in Silicon Valley Bank rescue
Mar 17, 2023, 2:45pm UTC
https://www.siliconvalley.com/2023/03/17/fed-blocked-mention-of-regulatory-flaws-in-silicon-valley-bank-rescue/
> WASHINGTON — As U.S. regulators prepared to announce an extraordinary government rescue of depositors at Silicon Valley Bank and Signature Bank on Sunday, officials from the Biden administration pushed to formally spotlight shortcomings in financial regulation that they blamed for the banks’ rapid descent to insolvency, according to several people involved in or close to the discussions.
> But Jerome Powell, chair of the Federal Reserve, blocked efforts to include a phrase mentioning regulatory failures in the joint statement released early Sunday evening by the Fed, the Treasury Department and the Federal Deposit Insurance Corp.