Democrats Caught Giving Who Top Priority?
This is insane!
At a Senate Finance Committee hearing on Thursday, Treasury Secretary Janet Yellen informed Republican Senator James Lankford that Chinese depositors would receive full compensation following the Silicon Valley Bank failure, whereas community banks would be subject to increased fees.
According to Breitbart, during her appearance before the Finance Committee to discuss President Joe Biden’s budget proposal, Treasury Secretary Yellen fielded numerous questions about the federal government’s response to the recent failures of financial institutions such as Silicon Valley Bank and Signature Bank. The concern over the instability in the banking sector dominated the discussion.
Senator Lankford inquired of Treasury Secretary Yellen whether Chinese investors, including those with connections to the Chinese Communist Party, would receive compensation as part of the government’s efforts to prevent a financial crisis.
Lankford asked, “It has been reported publicly that SVB had a large number of Chinese investors, including some that are directly connected to the Chinese Communist Party. Will those companies, entities, and investors that are Chinese investors be made whole based on assessments in my banks in Oklahoma? So, what I’m asking is, will my banks in Oklahoma pay a special assessment to be able to make Chinese investors whole from Silicon Valley Bank?”
Yellen replied, “Uninsured investors will be made whole in that bank and I suppose that could include foreign depositors, but I don’t believe there is any legal basis to discriminate among the uninsured.”
The Treasury Department, Federal Reserve, and Federal Deposit Insurance Corporation (FDIC) will take steps to prevent a banking crisis, which will include imposing a special assessment or fee on banks to refill the Deposit Insurance Fund.
Senator Lankford expressed his disapproval of community banks having to pay an extra fee to compensate Chinese investors.
The Secretary of the Treasury replied, indicating that they are taking necessary measures to prevent the economic situation from deteriorating further.
