New York State Announces Closing of Iconic Bank Following Silicon Valley Bank

[March 13, 2023](Comprehensive report by Epoch Times reporter Dave Ruo) New York State regulators announced on Sunday (March 12) the closure of the New York-basedlogo bank(Signature Bank), which is the third largest in the history of the U.S. banking industrybank failureevent.Two days earlier, regulators had shut downSilicon Valley Bankstranded billions of saver deposits.

Related posts

The United States added 311,000 new jobs in February, exceeding expectations

March 25, 2023

U.S.-China trade deficit continues to shrink, China’s exports remain under pressure

March 25, 2023

According to the New York State Department of Financial Services, the Federal Deposit Insurance Corporation (FDIC) controlslogo bankthe bank had $110.4 billion in assets and $88.6 billion in deposits at the end of last year.

【16000円OFFクーポン配布中】iPhone 14 Pro 512GB simフリー 国内正規品 Apple 本体 端末 新品 回線セット 価格：214800円（税込、送料無料) (2022/10/12時点) 楽天で購入

Bank of Mark employees appeared to gather for a meeting at the company’s Manhattan headquarters on Sunday, ordering meals and Starbucks coffee from Italian restaurant Carmine’s, Reuters reported. People started leaving the building after the announcement of the closure was announced.

friday,Silicon Valley Bank(Silicon Valley Bank, referred to as SVB) collapsed, the second largest in US historybank failureevent, second only to Washington Mutual Bank, which collapsed during the 2008 financial crisis.

Investors were unnerved by the speed at which start-up-focused Silicon Valley Bank, the 16th largest U.S. lender, collapsed as customers withdrew their money. Last week’s events wiped more than $100 billion off Bank of America’s market value, prompting swift action by government officials over the weekend to try to restore confidence in the financial system.

The U.S. Treasury Department and other banking regulators previously said in a joint statement that all depositors at Mark and Silicon Valley Bank would be wiped out and “taxpayers will not bear any losses.”

クーポン利用で1,680★円★ 楽天1位 ボーダーロング Tシャツ ボーダー ロング カットソー プルオーバー Tシャツ 長袖 クルーネック シンプル きれいめ カジュアル ガーリー ドルマン ゆったり 長袖 カジュアル 秋 冬 韓国ファッション【予約販売：11月11日に発送予定】 価格：2980円（税込、送料無料) (2022/10/12時点) 楽天で購入

But on Sunday night, U.S. federal regulators rolled out emergency measures to stem the potential spillover from the rapid failure of Silicon Valley Bank and Iconic Bank, including measures to support all depositors. Depositors at both banks will get all their deposits back.

The U.S. Treasury Department said it approved plans to close both institutions “in a manner that adequately protects all depositors.” Those who keep money in the bank will have full access to their accounts from Monday.

The Fed also said it was developing a new Bank Term Funding Program (BTFP) aimed at protecting institutions affected by market instability caused by the failure of a Silicon Valley bank.

A joint statement also said there would be no bailout package and no taxpayer costs associated with any new scheme. Shareholders and some unsecured creditors will not be protected.

The FDIC established a “bridge” successor bank on Sunday, allowing customers to access their funds on Monday. Depositors and borrowers at Silicon Valley Bank will automatically become customers of the bridge bank, the FDIC said.

The regulator named former Fifth Third Bancorp chief executive Greg Carmichael as chief executive of the bridge bank.

Signature Bank is a merchant bank with private client offices in New York, Connecticut, California, Nevada and North Carolina, and nine national lines of business, including commercial real estate and digital asset banking.

As of September, nearly a quarter of its deposits were in the cryptocurrency space, but the bank announced in December that it would shrink cryptocurrency-related deposits by $8 billion.

Signature announced in February that its chief executive, Joseph DePaolo, would transition to a senior advisor role in 2023, to be replaced by the bank’s chief operating officer, Eric Howell. . DePaul has served as President and Chief Executive Officer of Signature Bank since its founding in 2001.

Marker Bank has a longstanding relationship with former President Donald Trump and his family, providing checking accounts for Trump and his businesses and financing several Trump family businesses. After the January 6, 2021 congressional incident, the bank severed ties with Trump and urged him to resign.

New York Gov. Kathy Hochul said in a statement she hoped Sunday’s action by the U.S. government would “increase confidence in the stability of our banking system.”

“Many of the depositors at these banks are small businesses, including those driving the innovation economy, and their success is key to New York’s economic strength,” she said.

Shareholders and holders of certain unsecured debt at Sign and Silicon Valley Bank would not be protected, and senior executives at both banks have been removed, officials said Sunday.

Responsible Editor: Ye Ziwei#