Democrats defend vote for deregulation bill blamed for SVB collapse
https://sputniknews.com/20230319/democrats-defend-vote-for-deregulation-law-blamed-for-svb-collapse-1108552672.html
Democrats defend vote for deregulation bill blamed for SVB collapse
Democrats defend vote for deregulation bill blamed for SVB collapse
The Banking Deregulation Bill of 2018, which exempted some banks from stricter Federal Reserve oversight and stress testing, has been a topic of discussion since the collapse of Silicon Valley Bank and Signature Bank.
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2023-03-19T03:52+0000
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Democrats are defending their vote for a 2018 banking deregulation bill that President Biden and other party members blame for the collapse of SVB and Signature Bank last week. The legislation was seen by supporters as a way to offer relief to small and medium-sized banks that were struggling with tough regulations put in place under the Dodd-Frank Consumer Reform and Protection Act of 2010. of Wall Street. Forty-nine Democrats plus one independent joined Republicans to pass the bill. While Democrats now blame that rollback for bank failures, supporters of the legislation argue that it was impossible for small, medium and regional banks to comply with the regulations. The 2018 bill raised the asset threshold for regulation by $50 billion. to $250 billion, freeing some banks from tighter Federal Reserve oversight and Dodd-Frank Act stress tests. At least one Democrat expressed regret for his vote, Rep. Andre Carson (D-Ind.), who said it was time to “bring the requirements closer to our original Dodd-Frank standards” due to “events recent”. Yet most of the other Democrats who voted for the 2018 bill still support it and caution against jumping to conclusions about the cause of the collapses. Those exempt from regulation included Silicon Valley Bank and Signature Bank, both of which subsequently collapsed, with SVB’s collapse becoming the second largest in US history with unclear consequences. . The Department of Justice and the Securities and Exchange Commission, as well as the Federal Reserve, are all investigating the recent meltdowns.
https://sputniknews.com/20230318/at-least-186-us-banks-at-potential-risk-of-a-run-similar-to-svb-economists-warn–1108531654.html
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we, we doj, we sec, dodd-frank wall street reform and consumer protection act, dodd-frank, are the democrats responsible for the collapse of svb, are the trump republicans responsible democrats lame for banking crisis, global banking crisis, bank deregulation act, svb collapse
The Banking Deregulation Bill of 2018, which exempted some banks from stricter Federal Reserve oversight and stress testing, has been a topic of discussion since the collapse of Silicon Valley Bank and Signature Bank.
“Let’s be clear. The failure of Silicon Valley Bank is the direct result of an absurd 2018 banking deregulation bill signed by Donald Trump that I strongly opposed,” wrote Sen. Bernie Sanders (I- Vt.) in a statement.
“You had a set of rules that literally applied to the few biggest institutions in the country as well as our small and medium regional banks. It was impossible, and they were all merging and selling to the biggest banks and you had no more community bank in this country,” Rep. Josh Gottheimer (DN.J.) said in an interview with U.S. media.
The 2018 bill raised the asset threshold for regulation from $50 billion to $250 billion, freeing some banks from tighter Federal Reserve oversight and Dodd-law stress tests. Frank.
At least one Democrat expressed regret for his vote, Rep. Andre Carson (D-Ind.) who said it was time to “bring the requirements closer to our original Dodd-Frank standards” due to “events recent”. Yet most of the other Democrats who voted for the 2018 bill still support it and caution against jumping to conclusions about the cause of the collapses.
“I don’t know all the facts,” said Sen. Gary Peters (D-Mich.). “Right now we have an ongoing investigation; the feds are going to look into exactly what happened. I don’t think we should jump to conclusions, so we are investigating and reviewing the facts.”
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