Silicon Valley Bank: After the closure of Silicon Valley Bank in America, many banks have come under its sway. Within a week, 3 banks came on the brink of bankruptcy. Let’s know… Who is responsible for the collapse of such a big bank?
SVB: This big bank of America drowned due to one mistake of this person, CEO’s difficulties also increased
Silicon Valley Bank:Silicon Valley Bank (Silicon Valley Bank) But American regulators have put a lock on it. In this way it is being discussed all over the world. The bank of America about which most of the people did not even know a week back, now they have also started talking about the sinking of this bank. Due to the sinking of the bank, there is hue and cry everywhere. Bankruptcy or closure of the bank has not only worsened the condition of the banking sector of America, but the danger of recession is looming all over the world.
in america Silicon Valley Bank After the closure of many banks have come under its grip. Within a week, 3 banks came on the brink of bankruptcy. There is a possibility of bank closure in America affecting the banking sector of India. In such a situation, how this condition of the bank happened, in whose hands was the command of this bank, it is also very important to know. So let us tell you by whose fault this big bank of America got drowned.
Read also: CEO, CFO of Silicon Valley Bank’s parent company in trouble
Increased difficulties of CEO
Everyone was still suffering the pain of the sinking of Silicon Valley Bank that the company’s CEO Greg Baker (Greg Becker) Got another big blow. Let us tell you, the parent company of the bank is among the shareholders of the company. SVB Financial Group And has filed a case against its CEO Greg Baker in the Federal Court. Shareholders have accused the CEO of the company of hiding information related to the bank. CEO Greg Baker is alleged to have sold shares worth $3.6 million before the bank closed. Also, because of their bad decisions and because of their mistake, the bank has sunk.
Who is responsible for the collapse of the bank?
According to the US tech sector and media reports, CEO Greg Baker is behind the bankruptcy of Silicon Valley Bank. The bank has sunk because of his fault. At the same time, many employees working in asset management in the bank also say that the bank has sunk due to their wrong decisions. He is accused that the reason for the transparency of the CEO has led to this condition of the bank. The CEO immediately announced raising funds of $2.25 billion in capital and $21 billion in asset sales.
After the announcement, tech startups withdrew $ 42 billion from the bank within 24 hours. After which the loss of the bank had started. After the money was withdrawn, the bank had a negative cash balance of $985 million. At the same time, according to market experts, the Federal Reserve is also responsible.
Also read: What will happen to American banks? First Republic’s condition worsens after silicon, signature
Who is Greg Baker?
Greg Baker was born in the year 1971 in America. He has graduated from Indiana University. From the year 1993, he started his career as a banker with CVB Bank. In May 1993, he was made the COO of the bank. In the year 2008, he was made the President of Silicon Valley Bank and Silicon Financial Group. In the year 2011, he was made the CEO of SVB and SVB Financial Group.