Senate Majority Leader Chuck Schumer (D-N.Y.) will be gifting donations received from former Silicon Valley Bank CEO and the institution’s PAC to charities, just days after federal regulators shut down the bank.
A source who knew of the matter told CNBC that Schumer would be giving donations received from former Silicon Bank Valley CEO Greg Becker and the bank’s PAC to charity. A spokesperson for Schumer confirmed the CNBC report to The Hill on Tuesday.
Becker had donated $5,800 to Schumer’s campaign in June 2021, according to the Federal Election Commission. During the 2016 election cycle, the bank’s PAC donated $2,700 to Schumer, according to Open Secrets, a nonprofit organization that tracks campaign finances.
Rep. Maxine Waters (D-Calif.) said she will send back the $2,500 contribution she received from Silicon Valley Bank’s PAC, Politico reported on Tuesday.
Federal regulators shut down Silicon Valley Bank on Friday, making it the biggest bank failure since the 2008 banking crisis, which prompted concerns in the banking and technology industries over the weekend. Regulators auctioned off the bank over the weekend, and customers of the bank were able to access their funds as of Monday.
Silicon Valley Bank was absorbed by the new Silicon Valley Bridge Bank, a “bridge bank” operated by the Federal Deposit Insurance Corporation (FDIC), which transferred all deposits from the failed institution to the newly formed bank over the weekend. The CEO of the new bank urged customers to come back to the bank on Tuesday, saying that the institution is “open for business.”
Mychael Schnell contributed reporting.