Lawmakers grilled federal banking regulators on Tuesday over their “massive failure in supervision” during the first congressional hearing on the collapse of Silicon Valley Bank (SVB) and Signature Bank.
The Senate’s banking committee is the first to question officials on federal oversight of SVB, which was taken over by the federal government earlier this month after a severe bank run depleted its reserve. The collapse of the bank – the biggest bank failure since the 2008 financial crisis – has sparked wider fears about the soundness of the banking sector.
