- Chief Compliance Officer and VP of Legal Affairs, Arrow Electronics
By 
Aaron Nicodemus2023-05-12T16:58:00
The Federal Deposit Insurance Corporation (FDIC) issued a notice of proposed rulemaking regarding a special assessment on large banks to recover approximately $15.8 billion in losses attributable to the failures of Silicon Valley Bank (SVB) and Signature Bank.
The notice, issued Thursday, seeks comments on the agency’s plan to recover the losses to the Deposit Insurance Fund (DIF) in the aftermath of the failures of SVB on March 10 and Signature Bank on March 12. The FDIC and the Treasury Department invoked a statutory systemic risk exception that allowed the FDIC to take over both banks and protect all uninsured deposits, which are funds in accounts with more than $250,000.
The $15.8 billion in losses were a result of that decision to protect uninsured depositors, the FDIC said in a press release.
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San Francisco-based First Republic Bank was closed by state and federal banking regulators over the weekend, then sold to JPMorgan Chase Bank. The failure is the second largest in U.S. banking history.
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