Two of Silicon Valley Bank's top officials dumped millions of dollars worth of stock just two weeks before the firm collapsed on Friday, according to a media report.
CEO Greg Becker offloaded over $3.5 million worth of stocks - which amounted to nearly 12,500 shares - in a pre-planned, automated sell-off on February 27, according to a US Securities and Exchange Commission filing, the New York Post reported.
That same day, the bank's third-in-command CFO Daniel Beck sold $575,180 in stocks, Newsweek reported.
Silicon Valley Bank, the once leading tech lender, was shut down by federal authorities just 11 days later.
Becker and Beck sold off their massive stakes in a legal corporate trading plan established by the SEC to thwart insider trading, so it is not clear whether the CEO and CFO knew the company would collapse in just two weeks, New York Post reported.
The firm was abruptly shut down Friday by the California Department of Financial Protection and Innovation due to liquidity fears.
SVB disclosed it had taken a $1.8 billion hit from a $21 billion fire sale of its bond holdings.
It faced a cash crunch due to surging interest rates and a recent meltdown in the tech sector led many customers to pare their deposits, New York Post reported.
Shares of SVB Financial, the bank's parent, had plunged by a whopping 60% on Thursday. The stock was down by another 60% in premarket trading Friday until being halted.
The sudden collapse has investors worried about a recession event similar to the 2008 financial crisis, though it's not yet clear what the full impact will be, New York Post reported.
Police were called to a Manhattan branch on Friday as depositors swarmed the building in a bid to withdraw money.
Indian army responding to Pak ceasefire violations: FS Vikram Misri
Foreign Secretary Vikram Misri on Saturday said that Indian armed forces have been responding adequately to the ceasefire violations by the Pakistani army despite the announcement of truce between the two countries a few hours earlier.
Hours after announcement of truce, Pakistan violates ceasefire
Despite the announcement of ceasefire by India and Pakistan, there was a violation by the Pakistan army on Saturday evening in Akhnoor, Mendhar, R.S. Pura, Chamb, Bhimber and Gurez sectors while loud blasts were also heard in Srinagar.
No mosque touched during 'Operation Sindoor': Colonel Sofiya Qureshi
The Indian armed forces respect the Constitution’s secular values and keeping these in mind, they did not target any mosque during ‘Operation Sindoor’, the Defence Ministry said on Saturday, within hours of agreeing to a ceasefire with Pakistan.
India and Pakistan to stop all firing and military action: MEA
A few minutes after US President Donald Trump announced a "full and immediate ceasefire" between India and Pakistan, the Ministry of External Affairs (MEA) said that both sides would stop all firing and military action on land, air and sea with effect from 5 PM Indian Standard Time, on Saturday.
India to treat terror strike in future as 'Act of War'
India has decided that any future act of terror will be considered an ‘Act of War’ against the country and will be responded to accordingly, a decision which aligns with the Narendra Modi government’s zero tolerance for terror, official sources said on Saturday.
6 Pakistani air bases pounded by India in hit-back
Besides blunting Pakistan’s drone attacks overnight, India has carried out precision attacks on six Pakistan Air Force bases in Rafiqui, Sukkur, Murid, Chunia, Chaklala, and Rahim Yar Khan, said an official on Saturday.
India hit 8 military bases in Pakistan, including Sialkot station: Centre
India responded strongly to Pakistan’s repeated drone and missile attacks and hit at least eight military targets inside Pakistan on Friday night with precision, thereby causing significant damage, the Centre told the Press, as part of a special briefing on 'Operation Sindoor'.
Pak troops moving into forward areas, Indian forces in high state of operational readiness: Govt
India on Saturday said that Pakistan was escalating tensions along the Western border by moving troops into forward areas, suggesting an offensive intent to intensify hostilities.