Silicon Valley Bank on Friday paid out annual bonuses to eligible U.S. employees right before the bank collapsed and was seized
Silicon Valley Bank on Friday paid out annual bonuses to eligible U.S. employees, BEFORE the bank collapsed and was seized, per Axios.
The bonuses were for work done during 2022 and were previously scheduled to be disbursed on March 10.
Axios reports some bonuses were not paid as they were also scheduled later.
An FDIC spokesperson told Axios: “Without commenting on salaries, it’s our standard practice to ask retain [sic] bank employees to assist with an orderly transition as part of our resolution process.”
Notably, before the collapse of Silicon Valley Bank, $SIVB, the CEO sold $3.57 million of stock within the last two weeks.
This was part of their trading plans, the 10-5b.
Gregory Becker, CEO, sold 11% on Feb 27, 2023.
Michael Zucker, General Counsel, 19% on Feb 5.
Daniel Beck, CFO, sold 32% on Feb 27.
Michelle Draper, CMO, sold 25% on Feb 1.
Silicon Valley Bank has collapsed, the largest bank since 2008.
Silicon Valley was the 16th largest bank in the US, holding $210 billion in assets.
Silicon Valley Bank CEO Greg Becker gave a statement trying to calm investors and entrepreneurs on Thursday afternoon. The company didn’t open for trading at 9:30 after its shares dropped by 62% premarket trading.