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WASHINGTON — The House Financial Services Committee announced Friday its first hearing into the failures of Silicon Valley Bank and Signature Bank.
Martin J. Gruenberg, Chairman of the FDIC Board of Directors, and Michael S. Barr, Vice Chairman for Oversight of the Federal Reserve Board of Governors, are scheduled to testify at the March 29 hearing. Other witnesses may be added, the committee said in a statement.
The announcement follows President Joe Biden’s request to Congress on Friday to give financial regulators more power to claw back executive pay from failing banks.
The Federal Deposit Insurance Corporation seized SVB deposits on March 10 after bank executives received bonuses. Regulators shut down cryptocurrency-focused Signature Bank on Sunday to stem systemic risk.
Committee Chairman Patrick McHenry, RN.C., and Ranking Member Maxine Waters, D-California, said House Financial Services is “committed to getting to the bottom of the failures” of banks.
“This hearing will allow us to begin to understand why and how these banks failed,” the lawmakers said. “As chairman and member of the ratings, we take our oversight duties seriously. We work around the clock to provide answers to the American people to protect depositors, promote the safety and soundness of American banks, and strengthen our financial system. We will conduct this hearing without fear or favor to get the answers the American people deserve.”