Silicon Valley Bank employees received their annual bonuses Friday just hours before regulators seized the failing bank, according to people with knowledge of the payments.
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The Santa Clara, California-based bank has historically paid employee bonuses on the second Friday of March, said the people, who declined to be identified speaking about the awards. The payments were for work done in 2022 and had been in process days before the bank’s collapse, the sources said.
This year, bonus day happened to fall on SVB’s final day of independence. The institution, in the throes of a bank run triggered by panicked venture capital investors and startup founders, was seized by the Federal Deposit Insurance Corporation (FDIC) around midday Friday.
On Friday, SVB CEO Greg Becker addressed workers in a two-minute video in which he said that he no longer made decisions at the 40-year-old bank, according to the people.
The size of the payouts couldn’t be determined, but SVB bonuses range from about $12,000 for associates to $140,000 for managing directors, according to Glassdoor.com.
SVB was the highest-paying publicly traded bank in 2018, with employees getting an average of $250,683 for that year, according to Bloomberg.
They are as corrupt as PG&E!! Disgusting to get paid that much for mismanaging money!!
This appears to be the way it goes.
When notified that things are tough, the top people hand out bonus/ and then the Fed.’s come in and close them down.
Want to bet that the top people will be writing off most of their loses against taxes?
Years back Santa Barbara Savings and Loan were one of the S&L’s that were allowed to stay open. 26 branches in the State. A new Board of the past few years were told don’t to anything stupid and you and your investors will survive.
Within Levy and his board handed out a large payment to the CFO, and then took obscene payments to the Board. Less than a week later the S&L was shutdown…… At no time did the Fed’s order the return of the payments.
They all walked away fat and happy.
Dig into it….I’ll bet there is a whole bunch of tax write offs and people who should be suffering are going on trips to Hawaii
Oh, me? I lost 1,000 shares at $26 / share….and never did recover.
Biden is going to stick the bill to the average taxpayer.
SICK…………. Communism at it best
In Biden’s budget he says “The Rich must pay their fair share of taxes” then he turns around and bails out a bank only Rich people used….FDIC ONLY GUARANTEES 250,000 but the taxpayer is now on the hook for two banks and a 390 billion(BILLION) DOLLAR FAILURE THAT now the AMERICAN TAXPAYER IN ON THE HOOK FOR…AND ANY FUTURE BANKS WILL WANT THE SAME TYPES OF BAILOUTS…The Biden budget does not make the Rich pay its fair share?? The HAVE ALREADY BAILED THEM OUT!!!!!Just another reason to say DEMOCRATS SUCK
Just another reason to say DEMOCRATS & RINOs suck!
For them to claim that Trump is responsible for “deregulation” is nothing more that a copout in order to blame someone else for the corruption and/or stupidity of those involved in this fiasco.