US prosecutors have launched an investigation into the bankrupt Silicon Valley Bank. The US regulator for stock exchange trading, the Securities and Exchange Commission, is also investigating the California bank that was taken over by US authorities last Friday.
The Wall Street Journal reports this based on insiders.
According to the business newspaper, the investigation is still in an exploratory phase, and it is far from a foregone conclusion that there will be formal accusations against SVB or its directors.
Public prosecutors and the regulator often start an investigation when financial services companies run into problems. The investigation at SVB would focus on, among others, directors who sold shares a few days before the bank collapsed.