A top US financial regulator is inquiring about how private equity firms steered deposits, including client funds, out of Silicon Valley Bank before its collapse.
The Securities and Exchange Commission’s examinations unit has requested records of some investment firms’ money transfers and investor communications over the first three weeks of March, as well as emails with SVB, according to people familiar with the matter who asked not to be identified discussing confidential information. Some questions focused on whether executives with personal accounts at the bank cashed out before clients — and where deposits went, they said.
Source: SEC Queries Private Equity Firms That Yanked Cash as Silicon Valley Bank Failed – Bloomberg
