Independent Institute Senior Fellow Judy Shelton reacts to bank failures and gives her take on Fed rate hikes on the ‘make money’ theme.
Sen. Mark Warner, D-Va., said Sunday he would return donations he received from the failed Silicon Valley bank if evidence of “malpractice” was uncovered at Tuesday’s Senate Banking Committee hearing.
The comments from Warner, a member of the committee, came during a Sunday appearance on CBS’ “Face the Nation,” more than two weeks after the collapse of Silicon Valley Bank, the country’s 16th largest bank.
FILE: Senator Mark Warner (D-VA) returns to the Senate after a pause in the Senate impeachment trial against President Donald Trump January 30, 2020 in Washington, DC. (Samuel Corum/Getty Images/Getty Images)
Host Margaret Brennan noted that Warner was one of 16 Democrats who voted in favor of a 2018 law rolling up Dodd Frank banking regulations introduced after the 2008 financial crisis. After the collapse of the Silicon Valley bank, rollbacks came under renewed scrutiny.
Warner said he would support introducing additional rules for mid-sized banks if Tuesday’s hearing found stress tests anticipated the bank’s imminent collapse.
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Warner was one of many high-profile individuals and entities to receive donations from Silicon Valley Bank. Democratic lawmakers Chuck Schumer, Maxine Waters and Ro Khanna returned those donations.
Brenna urged Warner for the $21,600 he received from Silicon Valley Bank’s political action committee and nearly $6,000 from its CEO.
A security guard stands outside the entrance of Silicon Valley Bank’s headquarters in Santa Clara, California, the United States, March 13, 2023. (Portal/Brittany Hosea-Small/Fox News)
When asked if he plans to return those funds, Warner said campaign contributions have never influenced his political decisions.
“We will hear the facts on Tuesday. And of course if there is any wrongdoing at the bank, I will return the money,” Warner said.
Silicon Valley Bank failed on March 10 after making risky bets in the bond market. Two days later, regulators shut down New York-based Signature Bank, which had been involved in cryptocurrencies.
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A week later, long-troubled Swiss bank Credit Suisse was taken over by rival UBS Group. Amid these failures, America’s biggest lenders – including Citi – agreed to deposit $30 billion with struggling First Republic Bank to give it time to restructure.