First Republic Bank, one of the largest banks in the United States, has been declared insolvent by the California Department of Financial Protection and Innovation. The regulator determined that the bank was operating in an unsound manner, making it necessary for the regulator to take control of the bank immediately. The Federal Deposit Insurance Corporation (FDIC) was appointed as the banks receiver by the California regulator.
Unfortunately, like Silicon Valley Bank, First Republic Bank had a significant share of uninsured deposits, which made bank runs more likely. The bank planned to sell off its unprofitable assets and lay off a quarter of its workforce, which totaled about 7,200 workers in late 2022, to recover its position.
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Read the full article at: https://nnn.ng/first-republic-bank-declared-insolvent-by-california-regulator-jpmorgan-chase-steps-in-to-take-over/