US_Witness_661 t1_je2dj1a wrote on March 28, 2023 at 10:20 PM

Reply to comment by AltCtrlShifty in Banks in France Face More Than $1.1 Billion Fines After Raids by 21Rep

At least here in the US, there isn't. You can bankrupt your bank and the FDIC will bail out the customers while you can sell off your stock and make millions.

Sufferment t1_je3c5vj wrote on March 29, 2023 at 2:39 AM

Didn't svb stockholders lose everything?

captain554 t1_je3cv9r wrote on March 29, 2023 at 2:44 AM

Trick is to sell right before the crash: "CEO Greg Becker sold over $3.5 million in company stock, an SEC filing shows. Less than two weeks before Silicon Valley Bank became the largest bank failure since the 2008 financial crisis, top executives at the company sold stock totaling several million dollars, according to federal disclosures obtained by ABC News"

RE5TE t1_je3q3oa wrote on March 29, 2023 at 4:45 AM

Executives do that regularly. They're paid in stock, so they sell to get their money. The SEC can easily see if they sold an abnormal amount. I'm sure they're all under a microscope at this very moment.

herpaderp43321 t1_je3kkwi wrote on March 29, 2023 at 3:51 AM

Makes it sound like they knew and this would be automatic jail time.

be0wulfe t1_je3cn5t wrote on March 29, 2023 at 2:43 AM

Depositors got made whole, largely through asset sales and their deposits being bought by other banks.

I have as yet to hear of anyone getting investigated for insider trading, which they should, or negligence or wilful malfeasance, which they also should.

And the bank wasn't bankrupt. But I've explained this as far as I care to; go read some background reporting instead of spouting off silly sound bites.