The 12 directors who were tasked with overseeing the failed Silicon Valley Bank and preventing the disastrous blunders that threatened the entire financial system may not be well-known.
Democratic Board Failed
Nonetheless, they are dealing with a number of inquiries investigating their combined participation in its downfall.
Just one individual director on the board is below the age of 60. The oldest is 78, according to a Post analysis of the board, which contradicts Silicon Valley’s youthful reputation.
Nonetheless, SVB highlighted its diversity, claiming in its 2022 proxy statement that additional diversity comprises one black member, one LGQBT+ member, and two war veterans. That comes in conjunction with the 45% of women who serve as directors.
Tom King, the former Head of investment banking at Barclays, was chosen as the chairman of SVB Financial Group, the company’s parent business, in September. It boasted $214 billion in assets and also more than 7,700 workers globally.
Currently, there are five women and seven men in the organization.
Isn't there a law against selling a ton of shares in the bank you're on the board of just before it fails?
I'm sure it's just a coincidence the majority of the board members at SVB did this.
— P3 Driver 🥺Lab leak🥺 (@p3driver) March 15, 2023
Investigators are probably going to pay close attention to the group’s lack of financial knowledge. No one of the present members has held a position of prominence in the field of investment banking.
It is evident that much of the bank’s approach involved enhancing the Democratic credentials of a significant portion of the board.
They contributed to the campaigns of Sen. Mark Warner (D-VA), a prominent member of the influential Senate Banking Committee, Obama, Clinton, and President Biden, in addition to Pelosi and other local Democratic congressional representatives.
13 Dem senators voted for it. How would Dodd Frank have stopped@it. Oh 6 of 7 SVB board members were politically connected to Dems-no banking experience-zip-nada-zero
— cc_cw (@bayouboygto) March 14, 2023
Those donations complemented the bank’s business strategy.
An insider stated to the New York Post that everyone understood it was the bank to go to for enlightened CEOs. They were aware of their political alignment. All of the businesses that SVB provided loans to had progressive goals.
Unsuccessful Board
The members of the unsuccessful SVB board are listed below:
- Director Kate Mitchell, 64, a hefty supporter of Hillary Clinton, who visited a shrine in Kyoto after Donald Trump’s election to the presidency in 2016.
- Elizabeth “Busy” Burr, a board member, balances her career as an executive. After Heyward Donigan left RiteAid in January, she is now the company’s acting CEO, with a unique interest in improvised theater.
- Another seasoned Democratic contributor is Garen K. Staglin, who was chosen to serve on the SVB board in 2012.
- Mary J. Miller is the director with the best political connections. From March 2012 to September 2014, the 67-year-old served as Obama’s undersecretary for internal finance at the US Treasury Department.
- The latest director of SVB, Tom King, age 63, is the sole board member to have worked at the top of the banking industry. Prior to joining Barclays in 2013, he worked in financial services for 35 years, most of which were spent at Citigroup.
