SVB Management and Banking Rules Put on Trial at Senate Hearing
- Both parties blast Silicon Valley Bank’s former managers
- Republicans reject regulatory reforms backed by Democrats
Michael Barr, vice chair for supervision at the US Federal Reserve, speaks during a Senate Banking, Housing, and Urban Affairs Committee hearing in Washington, DC, on March 28.
Photographer: Samuel Corum/BloombergThis article is for subscribers only.
The fallout of Silicon Valley Bank’s failure rumbled through Washington on Tuesday, with lawmakers from both parties demanding that the Federal Reserve explain why it didn’t use powers it had and some Democrats calling for tighter financial rules.
Lawmakers from both parties expressed their shock and anger, at a Senate Banking Committee hearing, over the sudden collapse of Silicon Valley Bank and Signature Bank earlier this month. The regional banking crisis also has seen one lender liquidate itself and a fourth aided by a consortium of private banks.