SVB doled out bonuses ahead of FDIC seizure

Silicon Valley Bank on Friday paid out annual bonuses to eligible U.S. employees, just hours before theThe bonuses were for work done during 2022, and were previously scheduled to be disbursed on March 10. That date ultimately coincided with the bank's takeover by the Federal Deposit Insurance Corporation.

Bonuses for employees in some other countries were scheduled for later in the month, so those haven't yet been paid.An unknown number of SVB employees were emailed by the FDIC on Friday evening, offering them employment with the remnant organization for the next 45 days. The employees would be compensated 1.5x times their normal salaries, while hourly workers would receive 2x their normal wages for overtime.

An FDIC spokesperson tells Axios: "Without commenting on salaries, it’s our standard practice to ask retain [sic] bank employees to assist with an orderly transition as part of our resolution process."

That’s very fishy and not right. But who cares, right?

AndrewSolender they knew exactly what they were doing

One word: clawback. Along with the stock options exercised by executives weeks before the failure.

So?

They were paid one week earlier than normal, and for work performed in 2022.

Fractional reserve banking, high leverage, low liquidity, and incompetent regulators What could possibly go wrong with the banking system?

criminals

GregGenz Unbelievable!

Not unusual. They would have been considered 'earned wages' for 2022 and the FDIC honors such commitments to employees (but not senior management). Look at how much they pay employees that stay and help with the transition.

Of course they did

Ughhh

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