“Those responsible will be held accountable’: Joe Biden reacts after SVB, Signature Bank Collapse

US President Joe Biden on Sunday vowed to hold “fully accountable” the people responsible for the failure of Silicon Valley Bank and a second financial institution, Signature Bank. He, however, sought to reassure Americans that their deposits are safe.

“I am firmly committed to holding those responsible for this mess fully accountable and to continuing our efforts to strengthen oversight and regulation of larger banks so that we are not in this position again,” Biden said in a statement.

His statement comes just hours after regulators closed Signature Bank, a New York-based regional-size lender. Biden also said that he will speak about the US banking system on Monday and reassure Americans after the failures of Silicon Valley Bank and Signature Bank.

The US President said that Secretary Janet Yellen and National Economic Council Director worked with banking regulators and have reached a solution to protect US’s financial system.

“At my direction, @SecYellen and my National Economic Council Director worked with banking regulators to address problems at Silicon Valley Bank and Signature Bank. I’m pleased they reached a solution that protects workers, small businesses, taxpayers, and our financial system,” he said.

The moves sent waves of relief through Silicon Valley and made stock futures rally, but the crisis is testing confidence in the US financial system and fears remained the fallout would roil global markets in the week to come.

On Sunday, state regulators closed New York-based Signature Bank, the third largest failure in US banking history, two days after authorities shuttered Silicon Valley Bank in a collapse that stranded billions in deposits. The Federal Deposit Insurance Corporation (FDIC) took control of Signature, which had $110.36 billion in assets and $88.59 in deposits at the end of last year, according to New York state’s Department of Financial Services, according to a report by media house.

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