SVB Financial’s Claims Proceed to Recover $1.9 Billion From FDIC

Most of SVB Financial Group‘s claims against the Federal Deposit Insurance Corp. as receiver of Silicon Valley Bank survived the agency’s motion to dismiss, a federal court said.

When the FDIC took control of SVB in March 2023, SVBFG had over $1.9 billion in accounts with the bank. The Treasury Department determined that it would be in the best interest of the economy to pay all accounts with SVB, even if they were uninsured.

SVBFG filed for bankruptcy protection. But, after it made several transfers out of its SVB accounts, the FDIC placed a hold on its accounts. SVBFG ...