The MeidasTouch Podcast - Video of Trump Surfaces Showing His Total Culpability in SVB Collapse

Episode Date: March 13, 2023

MeidasTouch host Ben Meiselas reports on the video posted first by the MeidasTouch Network from May 2018 showing Trump and the GOP law that removed pivotal regulations which caused the collapse of Silicon Valley Bank (SVB). Shop Meidas Merch at: https://store.meidastouch.com Join us on Patreon: https://patreon.com/meidastouch Remember to subscribe to ALL the Meidas Media Podcasts: MeidasTouch: https://pod.link/1510240831 Legal AF: https://pod.link/1580828595 The PoliticsGirl Podcast: https://pod.link/1595408601 The Influence Continuum: https://pod.link/1603773245 Kremlin File: https://pod.link/1575837599 Mea Culpa with Michael Cohen: https://pod.link/1530639447 The Weekend Show: https://pod.link/1612691018 The Tony Michaels Podcast: https://pod.link/1561049560 American Psyop: https://pod.link/1652143101 Majority 54: https://pod.link/1309354521 Political Beatdown: https://pod.link/1669634407 Learn more about your ad choices. Visit megaphone.fm/adchoices

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charge bet mgm operates pursuant to an operating agreement with iGaming ontario i'm ben mysellus from the Midas touch network video has surfaced of donald trump bragging about legislation that he introduced, which repealed critical regulations, which would have prevented the collapse of Silicon Valley Bank. Let me explain. By now, I'm sure you've heard about the collapse of SVB or Silicon Valley Bank. At the time of its failure, it had over $200 billion in assets. It referred to itself as the innovator in the tech space, the financial partner of innovation economy. It banked a lot of venture capital companies, a lot of tech companies. And just so you have a sense of comparison, the $200 billion in assets that SVB had at

the time of its failure, how does it compare to, say, a bigger bank like JPMorgan Chase? JPMorgan Chase has approximately $3.31 trillion in assets. But nonetheless, SVB was a big player at the time. So what happened to SVB? I think Vox gave a very good analysis here about the good old-fashioned bank run that took place, and this is how it's described. The bank takes deposits from clients and invests them in generally safe securities like bonds. As the Federal Reserve increased interest rates, those bonds became worth less. That wouldn't normally be an issue.

SVB would just wait for those bonds to mature. But because there's been a slowdown in venture capital and tech more broadly, and they were significantly, almost primarily banking more than 50% of their client base being from tech, deposit inflows slowed, clients started withdrawing their money, and there was a run on the bank. However, this would have been detected, the vulnerable balance sheet would have been detected under Dodd-Frank regulations, which were rolled back under the Trump administration. Now, there's been video that has surfaced of Donald Trump basically bragging about enacting a new law that would basically repeal the regulation.

This video of Donald Trump comes from May 4th, 2018, where he signs into law a law that's referred to as the 2018 Economic Growth and Regulatory and Consumer Protection Act. And at the end of the day, it has this name that it actually did the exact opposite and injected a lot more risk. Everything that Dodd-Frank was created to fix, Trump undid those regulations and basically caused this to happen. As New York Times explains, some banking experts pointed out that a bank as large as Silicon Valley Bank might have managed its interest rate risks better had parts of the Dodd-Frank financial regulatory package put in place after the 2008 crisis not been rolled back under President Trump. In 2018, President Trump signed a bill that lessened regulatory scrutiny for many regional banks. Silicon Valley Bank's chief executive, Greg Becker, was a strong supporter

of the change, which reduced how frequently banks with assets between $100 billion and $250 billion had to submit to stress tests by the Fed. They essentially avoided stress tests by the Fed and as a result incurred all of this risk and then suddenly failed with this bank run. I'm going to play for you now the video that has surfaced. Midas Touch Network broke this story on our social media accounts. This is from May 4th of 2018 with Donald Trump bragging about repealing the key portions of the Dodd-Frank Act that would have stopped this exact collapse of Silicon Valley Bank. Play the clip. The legislation I'm signing today rolls back the crippling Dodd-Frank regulations that are crushing community banks and credit unions nationwide. They were in such trouble. One size fits all.

Those rules just don't work. And community banks and credit unions should be regulated the same way, and you have to really look at this. They should be regulated the same way with proviso for safety as in the past, when they were vibrant and strong, but they shouldn't be regulated the same way as the large, complex financial institutions. And that's what happened. And they were being put out of business one by one. And they weren't lending. Since its passage in 2010, Dodd-Frank has dealt a huge blow to community banking. As a candidate, I pledged that we would rescue these community banks from Dodd-Frank, the disaster of Dodd-Frank. And now we are keeping that commitment and all of the people with me are keeping that commitment. We passed and signed a record number of bills terminating job killing regulations in In the history of our country, no president, whether it's four years, eight years, or 16

years in one case, has ever passed more regulation cuts. Well, with Donald Trump, there is a video for everything. And as time progresses, we see what a menace he was. Look, every business that he ran before going into office, he crashed. Everything he's touched in his life, he's bankrupted. So it shouldn't shock you that he would engage in policies he has no clue about that would result in these types of crises. From Representative Katie Porter, she posted on her social media, she wrote the following on Twitter, the collapse of Silicon Valley Bank was totally avoidable. In 2018, Wall Street pushed a deregulation bill that allowed banks like SVB

to take reckless risks. It passed even as I and many others warned of the risks. I am writing legislation to reverse that law. S2155, that was the law. S2155 became the Economic Growth and Regulatory Consumer Protection Act, which did the exact opposite, which Trump signed into law. By the way, it was the 115th Congress. Republicans controlled the Senate. Republicans controlled the House of Representatives. So while Trump was saying he's going to come up with a health care plan that's better than Obamacare, and when Trump said that he was going to deliver infrastructure, he did none of those.

Instead, they rolled back critical regulations that were part of Dodd-Frank, which would have stopped this from happening. This from The Intercept. Let me read this to you from Ken Klippenstein. He writes, wake of the financial crisis, lobbyists for Silicon Valley Bank immediately began pressing their case further to federal authority that ensures bank deposits in the event of another crisis, according to lobbying disclosures reviewed by The Intercept. The lobbying effort managed to exempt banks the size of SVB from more stringent regulations, including stress tests aimed at uncovering the type of weaknesses that led to the bank's implosion last week. Two of the bank's top lobbyists previously served as senior staffers for House Speaker Kevin McCarthy, who himself pushed for the repeal of significant pieces of the landmark Wall Street reform legislation known as Dodd-Frank.

We don't give too much kudos here usually, or we should, but we haven't really highlighted good floor speeches by Senator Dianne Feinstein, the Democrat from California. But in real time back in 2018 when this law, S2155, the legislation was being circulated in the Senate, she called it. I want to play for you the speech that she delivered on the House floor before it was signed into law, where she called it out, where she explained exactly what was going to happen. This video is prescient. This video is incredible. And one thing I just want to say before playing this video for you, though, is the following. Now you have all of these Republicans, all of these Republicans who called for deregulation, who are the arsonists. They are the arsonists. So what do they do now? The very first thing they do is

they blame the government. They blame the government that they removed from the regulatory scheme that would have stopped this from happening. The Republicans go, oh, it's Biden's fault. We need the government in. We need the government in now. Bail us out, bail us out, bail us out. Now that they were responsible for the failure that they screwed over working class and middle class Americans, and now they want the bailout. Now they want the bailout. And that's what we repeatedly talk about here at the Midas Touch Network, which is priorities. Priorities, which is these MAGA Republicans support the billionaire class. They support the 0.0001% of Americans, the Uber ultra billionaires and DECA millionaires.

And they try to distract Americans with all of the issues about Mr. Potato Head and woke this, woke that and pronouns and all of these things while they pass bills that remove important regulation so they can just greedily steal all of this money and take all this money. Look, we got to wake up. We got to open up our eyes and see specifically what these MAGA Republicans did before, what they're doing now, and the devastation caused by Donald Trump. So with that said, please watch this video on the pout to play of Dianne Feinstein. It is really important. Play the clip. Mr. President, I rise to discuss S2155. It's called the Economic Growth Regulatory Relief

and Consumer Protection Act. Now, you'd think from the title that I would be all for it. But as one who went through the drop in the economy when we were on the brink of collapse, I believe this is a very bad bill. Let me take you back for a moment to that time. Banks were teetering, and over 300 would fail in the next three years. For perspective, only three banks failed in the year of 2007. Unemployment was skyrocketing. We lost $19 trillion in household wealth. Americans lost nearly 9 million jobs. In my state, California, more than 2 million people were unemployed. Three and a half million mortgages were at risk,

and nearly 200,000 people filed for bankruptcy. Now that the economy has recovered and unemployment has decreased from its high point of 10% during the crisis, I worry that my colleagues have forgotten the magnitude of this crisis. I simply cannot. I remember sitting in caucuses, hearing from our top financial officials about the potential for a total collapse of our economy. Treasury Secretary Timothy Geithner testified to the House Financial Services Committee, and I quote, our financial system failed to do its job and came precariously close to failing altogether." That is not an exaggeration, Mr. President. For

those of us that were here, who listened to the economists, who heard what was happening, we feared a total collapse. And personal conversations I had with these economists carried the most dire warnings. We should never get close to that point again. Congress spent more than $400 billion on something labeled TARP, Troubled Asset Relief Program, to help stabilize the economy. It was very controversial at the time, but we have since recouped more than we spent on that bank program. Congress then passed the Dodd-Frank

Wall Street Reform and Consumer Protection Act in 2010, putting in place policies to prevent another financial crisis, including strong protections on the largest banks. Now, just eight years later, how quickly we forget we are considering loosening these protections. Have we forgotten the lessons from ten years ago and the devastating consequences for American families? As with any bill we pass, I'm open to looking at how it's been implemented and making adjustments as needed.

For Dodd-Frank, I agree that community banks and credit unions shouldn't be regulated the same way as the largest banks in the country. I'm open to adjusting some of these regulations for them, but this bill simply goes too far. It goes beyond targeted relief for small institutions. The nonpartisan CBO, Congressional Budget Office, says the probability of a large bank failing or another financial crisis will go up if this bill is enacted. I think everything that Senator Feinstein said there, again, this was before the bill was signed into law in 2018. And she called it. She said,

we need to reflect on why we have this regulation in the first place. And it's not just regulation in the financial sector. It's regulation, it's safety regulation. It's regulation for our environment. It's regulation for toxic substances. It's regulations that try to stop train derailments. It's regulation that is important for people's safety, for life.

That's why these regulations exist. That's why these regulations exist. And you have MAGA Republicans bragging about creating this dystopian vision by just haphazardly removing the regulation. The regulations are rooted in a historical experience about why they are needed in the first place. So I just wanted to give you that backstory, explain to you SVB, explain to you the broader implications of how something like that could happen. SVB was uniquely exposed based on its reliance on tech sector deposits, unlike lots of other banking institutions. So it is a unique circumstance there. However, that could have been caught. That could have been prevented. And we need to wake up and just stop with this Trump grift, MAGA Republican grift.

They don't know what they're doing. They don't know what they're doing at all. Let's wake up. I'm Ben Myselis from the Midas Touch Network. Hit subscribe. We're on our way to 1 million subscribers thanks to your support. We are marching to 1 million. Make sure you hit subscribe. Check us out at patreon.com slash Midas Touch, P-A-T-R-E-O-N.com slash Midas Touch. Wherever you get your audio podcast, search Midas Touch Podcast and subscribe there. All right, now subscribe for free on our YouTube. Let's get to 1 million subscribers this month in March. Thank you so much.

I'm Ben Micellus. At Midas Touch, we are unapologetically pro-democracy and we demand justice and accountability. That's why we're spreading our message to convict45. That's right. Gear up right now