The Silicon Valley banking scandal

In the 1990s there was the savings and loan scandal. These were not called “banks”, they were called “savings and loan”. One of the scandals were the S&Ls were closing. In one case the Clintons got a loan to buy some land in Whitewater. The S&L failed, and they never had to pay back the loan (or so I recall).

In 2008 was the official beginning of the Great Recession. At least 500 banks closed in the US. Some reopened with help from the US government (the taxpayer).

Now we have several more banks that are closing. Here are some articles about that. Look at the order of the news articles to see if there is a pattern.

2023-0311. HSBC (HSBC Holdings plc is a British multinational universal bank and financial services holding company. It is the largest bank in Europe by total assets ahead of BNP Paribas, with US$2.953 trillion as of December 2021) is one of the global behemoth banks that is constantly under scrutiny for a long list of crimes. They paid $1.9 billion in fines for laundering drug cartel money. They seem to be constantly at the center or near periphery of Ponzi schemes coming out of China. Possible US banks collapsing: Signature Bank, First Republic Bank, Pacific Western Bank, Western Alliance Bancorporation.

Why Would Silicon Valley be Ground Zero for Banking Centralization? Part 2

2023-0312. Why Would Silicon Valley be Ground Zero for Banking Centralization? Part 1. This is about major problems in the US financial world which, when they come together, could be a bad depression. This also has an VERY interesting graph of CEO resignations from 2017 through 2020. This article also talks about why auto loan companies did not repossess cars if a person didn't pay, and the problems with home builder finance companies. https://roundingtheearth.substack.com/p/why-would-silicon-valley-be-ground

2023-0313. Barney Frank (Democrat), the Namesake of the Behemoth Dodd-Frank Legislation, swallows a tiny black hole and begins to implode. He's also on Board of failed Signature Bank. https://www.thegatewaypundit.com/2023/03/barney-frank-the-namesake-of-the-behemoth-dodd-frank-legislation-on-board-of-failed-signature-bank/

2023-0313. The death of Silicon Valley Bank is bad news for climate change. 1500+ climate and energy tech companies relied on the bank.) Their accounts will be insured by the FDIC at $250,000 per bank, not per account.)

Patrick Henningsen @21WIRE

Collateral damage is sometimes necessary.

2023-0313. X22 video at 4:40: SVB was rated as a top bank. The rating system must be broken as well. Dems still blaming Trump for the banking problems, bad hair days, their shoes coming untied, and being gassy. Trump had his account closed at SVB but then SVB collapses. SVB linked to FTX. FED printing money which then gives it to the bank and also Chinese account holders. (This is a great way to launder money at taxpayer expense, and give it to the CCP.) https://rumble.com/v2d0fzk-ep.-3019a-ds-system-being-destroyed-fed-on-the-hook-for-all-banks-put-an-en.html

2023-0314. Moody’s Cuts Outlook For Entire US Banking Sector, Puts Six Banks on ‘Downgrade’ Watch. https://www.thegatewaypundit.com/2023/03/developing-moodys-cuts-outlook-for-entire-us-banking-sector-puts-six-banks-on-downgrade-watch/

2023-0314. The California Department of Financial Protection and Innovation closed SVB, and named the FDIC as the receiver. The FDIC in turn has created the Deposit Insurance National Bank of Santa Clara, which now holds the insured deposits from SVB. https://www.cnbc.com/2023/03/10/silicon-valley-bank-is-shut-down-by-regulators-fdic-to-protect-insured-deposits.html

2023-0314. Silicon Valley Bank committed 'one of the most elementary errors in banking,' Larry Summers says: borrowing money in the short term and investing in the long term. It was the second-biggest bank failure in U.S. history and the largest since Washington Mutual went under in 2008. https://finance.yahoo.com/news/silicon-valley-bank-committed-one-135059554.html

What is covered under FDIC bank insurance?

2023-0314. What types of accounts are covered under US FDIC insurance? the Federal Deposit Insurance Corporation (FDIC) insures many bank accounts with balances of up to $250,000 (full details below). And with the average bank account sitting at around $41,600, according to Bankrate… For instance, if one depositor had multiple accounts with one FDIC-insured institution totaling $275,000, and that bank were to go the way of SVB, the government would cover $250k but not the excess $25,000. (Multiple accounts at the same bank to not each get $250k of coverage.) Covered types of accounts: Checking accounts, Negotiable Order of Withdrawal (NOW) accounts, Savings accounts, Money market deposit accounts (MMDA), Time deposits such as certificates of deposit (CDs), Cashier’s checks, money orders, and other official items issued by a bank. See the full article for more covered types. NOT covered are: Mutual fund accounts, bond accounts, crypto assets, annuities, and a few more. https://www.marketwatch.com/picks/very-important-for-your-cash-heres-what-accounts-are-and-are-not-insured-by-the-fdic-3f2af098?siteid=yhoof2

So it does look like the banking sector never learned from its past mistakes, and abuse of the system is still going on.