RUTHFULLY YOURS

https://www.thegatewaypundit.com/2023/03/silicon-valley-bank-was-on-federal-reserves-radar-for-more-than-a-year-fed-reserve-of-san-francisco-issued-six-citations-and-flagged-bank-as-ticking-time-bomb/

Silicon Valley Bank was on the Federal Reserve’s radar for more than a year before it collapsed.

SVB’s balance sheet was a ticking time bomb but somehow the bank regulators ‘missed it’ and the bank ultimately collapsed.

Silicon Valley Bank reportedly held $173 billion in deposits – $117 billion of its deposits were in mortgage-backed securities.

The so-called bank regulators somehow ‘failed’ to notice Silicon Valley Bank was a ticking time bomb when more than two-thirds of its deposits were invested in mortgage-backed securities that yielded 1.5% as the Fed raised rates 450 basis points last year, according to its balance sheets.

The Federal Reserve of San Francisco issued six citations and flagged Silicon Valley Bank.

By July of 2022, Silicon Valley Bank was under a “full supervisory review” and “placed under a set of restrictions that prevented it from growing through acquisitions,” according to the New York Times.

The regulators knew Silicon Valley Bank was in trouble and did not have enough cash to cover depositors.

But they were bailed out anyway.

https://www.foxnews.com/opinion/economy-tank-banks-reeling-inflation-sky-high-biden-telling

Are you angry yet? You should be. Our economy is slowing, banks are reeling, inflation remains scorching-high, real incomes are dropping, home prices are falling and Americans everywhere are becoming poorer by the minute.

On top of everything else, now we have the failures of Silicon Valley Bank and Signature Bank, infuriating bailouts and the resulting panic over banks. As with nearly everything that has gone wrong on their watch, including the inexcusable border chaos, the catastrophic pullout from Afghanistan and harmful inflation, the go-to response by the White House has been to blame President Trump.

Specifically, to blame Trump for signing legislation that loosened regulations on regional banks in 2018.That was Joe Biden’s message in the pitiful 5-minute address in which he tried but utterly failed to reassure the nation that our banking system is sound.

Here’s what Biden didn’t say: they knew. Regulators knew that Silicon Valley Bank was on the brink of failure. Supervisors spotted fatal weaknesses at the tech lender last summer, including some deemed “matters requiring immediate attention”; they told SVB management last fall that its model was flawed and could result in a run on deposits. 

Despite the grave warning, the New York Times reports, management failed to change course and supervisors failed to act. By early this spring, SVB was in yet another review, this one on its risk management practices. Bottom line: there were none.

In other words, there were plenty of regulations and processes in place to prevent the catastrophe that occurred at SVB. Critics have assailed the San Francisco Fed, the supervisory authority, and its chief Mary Daly, for negligence. Some have rightly said that having SVB CEO Greg Becker on the overseer Fed board posed an obvious and dangerous conflict of interest.

It is hard to dismiss those who assert that the eagerness with which the Fed, the Treasury and the White House stepped in to bail out SVB and Signature Bank, caught in SVB’s backdraft, stemmed from the cozy relationships and giant political donations that Democrats receive from the tech community. It is, indeed, one big Happy Valley. 

https://www.spiked-online.com/2023/03/20/the-lingering-malady-of-trump-derangement-syndrome/

There’s a whiff of the banana republic to the reports that Donald Trump will be arrested this week over the Stormy Daniels affair. Trump said on Truth Social that he expects to have his collar felt by the cops tomorrow. It would be related to the 2016 investigation of the hush money Trump gave to porn star Daniels after he caught wind of the fact that she was trying to hawk the story of their extramarital affair. Trump gave her $130,000, which is perfectly legal, but he registered the hush cash as ‘legal fees’, which is not legal – that’s the falsification of business records, prosecutors say, which is a misdemeanour in New York. NYC district attorney Alvin Bragg set up a grand jury on this rather minor matter, and it’s possible an indictment will be announced this week.

You don’t have to be a Team Trump, ‘January 6’ hothead to know that such an indictment would be a brazenly political act, motivated more by coastal-elite animus towards the Bad Orange Man than by concern about a little white lie in Trump’s business accounts. Bragg is a radical Democrat. His loathing of Trump is well known. He’s also notoriously soft on crime, to the fury of many New Yorkers. As the National Review put it, ‘crime is rampant in New York’, in part because ‘Bragg’s default position is leniency and often non-prosecution when it comes to hardened criminals’. The idea that he’s now having sleepless nights over a fib told by Trump seven years ago is preposterous. No, this is ‘bare-naked politics’, in NR’s words.

What we have here, boiled down, is the ruling party using a trumped-up charge to punish the leader they pushed out of power. That’s what happens in banana republics. Republican senator Eric Schmitt was surely right when he said that ‘if this same behaviour occurred in an authoritarian state, our own US State Department would condemn it’. In liberal, woke New York City, however, it’s seen as perfectly okay. The shamelessly political nature of this legal act can be seen in the social-media crowing over it, too. Every detail of the possible indictment is being relished by Trump-haters. Memes abound showing Trump in cuffs. CNN and others can barely contain their glee that Trump would have to be ‘processed and arraigned at the courthouse, which includes fingerprinting and mug shot’. That mug shot would be everyone’s Twitter pic by Wednesday morning.