April 28, 2023
The New York State Department of Financial Services Announces the Results of the Review of the Supervision and Closure of Signature Bank
New York State Department of Financial Services today released the Department’s internal review of the supervisory process and events leading to the closure of Signature Bank.
A confluence of events—including the liquidation of Silvergate Capital Corp., the collapse of Silicon Valley Bank, and the resulting panic that rapidly spread through social media—led to the outflow of deposits across Signature’s diverse customer base. The bank’s inability to provide a credible liquidity plan to open on Monday, March 13, led DFS to take possession of the bank on Sunday, March 12, 2023, and appoint the Federal Deposit Insurance Corporation as receiver.
The report outlines recommendations DFS will implement to modernize supervision of today’s global financial system.