Money matters
Barney Frank under fire over role on board of doomed Signature Bank
Retired congressman Barney Frank, who co-wrote the Dodd-Frank Act which aimed to fine tune bank regulations following the 2008 financial crisis, has come under fire amidst the latest banking collapse in The United States.
Barney is on the board of directors at Signature Bank, who are a New York lender that was shut down by state regulators over the weekend. Signature Bank became the 3rd bank to collapse following Silicon Valley Bank, which was shut down on Friday, and Silvergate Capital, which was shut down the previous week.
Frank spoke to Bloomberg on Friday and argued that some of the blame should lie with crypto currencies, which weren’t in existence when he and other lawmakers were dealing with the Lehman Brothers collapse in 2008.
“Digital currency was the new element entered into our system,” Frank told Bloomberg. “A new and destabilizing – potentially destabilizing – element is introduced into the financial system. What we get are three failures.”
Frank didn’t discuss crypto’s role in helping Signature Bank grow, despite concerns about its volatility.
Frank also insisted that regulators’ move to shut down Signature was hasty, claiming that the bank could have survived.
“I think that if we’d been allowed to open tomorrow, that we could’ve continued — we have a solid loan book, we’re the biggest lender in New York City under the low-income housing tax credit,” Frank said. “I think the bank could’ve been a going concern.”
“Mr. Frank’s extensive experience as a congressman, and particularly as Chair of the House Financial Services Committee, led the Board to conclude that he should be a member of the Board,” a statement about Frank’s appointment to the board reads.
As of February 2023, Frank owned 5,542 shares in Signature Bank, which at the time were worth $825,000. The value of the shares will have diminished following the bank entering administration.
-
Clergy5 days ago
Why Do The American People Let The Corrupt Media & Politicians Set The Propaganda Narrative – Speak On Their Behalf
-
Education5 days ago
CHAPTER 10: Objective Reality Is Required for a Free Society Space Is No Longer the Final Frontier—Reality Is [upcoming release May 2024]
-
Human Interest4 days ago
Idaho prepares to defend its abortion ban
-
Education2 days ago
‘Grading for Equity’: Promoting Students by Banning Grades of Zero and Leaving No Class Cut-Ups Behind
-
Civilization4 days ago
Earth Day Should Celebrate U.S. Progress & Innovation
-
Civilization2 days ago
Newsom plays silly abortion politics
-
Education4 days ago
The Intifada Comes to America. Now What?
-
Family1 day ago
Idaho defends against abortion mandate