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March 13, 2023 - SACRAMENTO — Governor Gavin Newsom on Sunday issued the following statement in response to the Biden Administration’s announcement enabling the Federal Deposit Insurance Corporation to complete its resolution of Silicon Valley Bank in a manner that fully protects all depositors.
“The Biden Administration has acted swiftly and decisively to protect the American economy and strengthen public confidence in our banking system. Their actions this weekend have calmed nerves, and had profoundly positive impacts on California — on our small businesses that can now make payroll, workers who will get their paychecks, on affordable housing projects that can continue construction, and on non-profits that can keep their doors open tomorrow. California is a pillar of the American economy, and federal leaders did the right thing, ensuring our innovation economy can continue to grow and move forward.”
Source: Office of the Governor
Senator Alex Padilla Statement on Treasury, Federal Reserve, and FDIC Action Regarding Silicon Valley Bank Collapse
March 13, 2023 - WASHINGTON, D.C. — U.S. Senator Alex Padilla (D-Calif.) released the following statement after the Administration took critical steps to fully protect all depositors at Silicon Valley Bank (SVB):
“This decisive action taken by regulators to fully protect all Silicon Valley Bank deposits will ensure that millions of workers across the country will be paid on time — and it will limit the potential damage to California’s and the nation’s economy. It is also important to note that taxpayers will not be on the hook for this critical resolution, and the protections do not extend to shareholders.
“I’ve been in frequent communication with Administration, Treasury, and FDIC officials throughout the weekend to ensure that SVB depositors have access to all of their funds when the bank opens tomorrow morning.
“The events of the past few days have made clear that there must be accountability for the bank managers and executives who paid themselves millions of dollars in bonuses and sold off stock days before SVB collapsed.
“I look forward to working with regulators and the Biden Administration to ensure we have the appropriate and necessary tools to prevent similar situations in the future. That includes revisiting FDIC insurance limits in order to provide depositors with confidence in their financial institutions.”
Source: Senator Alex Padilla
Related: Depositors With Silicon Valley Bank in Santa Clara, California Will Have Access To All Of Their Money Starting Monday, March 13 Says a Joint Statement by the Department of the Treasury, Federal Reserve, and FDIC
