« It’s not a bailout of the shareholders. They’re getting wiped out. That’s great, and they should be, » Isaac, a former FDIC chairman, told Bloomberg.
William Isaac, the former chairman of the Federal Deposit Insurance Corporation, said the authorities’ handling of Silicon Valley Bank’s collapse « clearly » constitutes a bailout.
On Monday, Bloomberg anchor Scarlet Fu asked Isaac about his views on the FDIC taking over Silicon Valley Bank — and whether it should be considered a bailout.
« Well, clearly it is. I mean, it’s not a bailout of the shareholders. They’re getting wiped out. That’s great, and they should be, » Isaac said. « And the management and the directors are losing their jobs. That’s fine. That’s what it should be.
