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WASHINGTON — The House Financial Services Committee on Friday announced its first hearing on the failures of Silicon Valley Bank and Signature Bank.
Martin J. Gruenberg, chairman of the FDIC board of directors, and Michael S. Barr, vice chair for supervision for the Federal Reserve board of governors, are scheduled to testify on the March 29 hearing. More witnesses could also be added, the committee said in a press release.
The announcement follows President Joe Biden’s request to Congress on Friday to permit financial regulators more authority to claw back compensation from executives at failed banks.
The Federal Deposit Insurance Corporation seized SVB’s deposits March 10 hours after the bank’s executives received bonuses. Regulators shut down cryptocurrency-focused Signature Bank on Sunday to stem a systemic risk.
Committee Chairman Patrick McHenry, R-N.C., and Rating Member Maxine Waters, D-Calif., said House Financial Services is “committed to attending to the underside of the failures” of the banks.
“This hearing will allow us to start to know why and the way these banks failed,” the lawmakers said. “As Chairman and Rating Member, we take our oversight duties seriously. We’re working across the clock to deliver answers to the American people with a view to protect depositors, promote the protection and soundness of America’s banks, and strengthen our economic system. We are going to conduct this hearing without fear or favor to get the answers the American people deserve.”
