Re “Justice Dept. reportedly opens probe into bank’s collapse” (March 15): The Federal Deposit Insurance Corp. (FDIC) is an insurance company that is funded by banks and administrated by government employees appointed by the president. Silicon Valley Bank (SVB) customer deposits should be insured up to $250,000 per account by the FDIC.
Speculation that executives were incompetent and extracted money from SVB, knowing that it was likely to fail, is only part of the story. The other parts are that the FDIC is underfunded and the inadequate oversight of large banks.
The FDIC fund is about $125 billion, while it is estimated that it should be about $250 billion. The Trump administration rolled back Dodd-Frank oversight provisions in 2018. As such, more time should be spent addressing the underfunding issue and reinstatement of Dodd-Frank.
It’s likely that investor lawsuits will take care of the SVB executives.
Do your representatives really represent you
Re “One of Silicon Valley’s top banks fails; assets are seized” (March 11): If people hadn’t voted for Donald Trump and his cronies in 2016, and those sycophants who are still trying to mess up our country now, this issue, and others, would have been transparent and addressed long before now. But thanks to Trump and company, regulations like what banks needed to do were rolled back. Ergo, we have this failed bank.
And there are other issues too that Trump and company literally messed with, i.e. cutting funding to the IRS, which is only just now getting back to being able to process my 2021 and 2022 tax returns.
Thank you, President Biden and Democrats. Folks, don’t just vote because it’s “your party” and has been forever — take a hard, and I mean hard, look at what your representatives in Congress are doing. Complain and question what they do.
Is it right (not just for yourself), but for all of us.
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