On Monday’s broadcast of the Fox Enterprise Community’s “Evening Edit,” Rep. Dan Meuser (R-PA) reacted to reporting from The Wall Road Journal that was confirmed by ABC Information that the Federal Reserve knew of issues with Silicon Valley Financial institution (SVB) again in 2019 by declaring that SVB doubled in measurement after these warnings and stating that Federal Reserve regulators didn’t do their jobs.
Meuser mentioned, “Well, and since those issuances, Silicon Valley Bank doubled in size. So, they ran a lot of risks, they were very mismanaged. The Fed Reserve out of San Francisco did a terrible job from a regulatory standpoint, so they really just didn’t do their jobs, and the level of management was terrible. So, what we have now is we have some investigations [that are] going to take place. Our Financial Services Committee will have the Vice Chair of the Fed, Michael Barr. We’ll have the chairman of the FDIC in next week and look to get answers. But the real reason for the answers, Liz, is so we don’t put blame on the well-managed banks…by these mismanaged banks, because they are outliers.”
The New York Occasions additionally reported that the Fed knew of issues with SVB previous to its collapse, which ABC additionally confirmed.
Observe Ian Hanchett on Twitter @IanHanchett
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