US lawmakers urge probe of Goldman’s role in Silicon Valley Bank failure

Top Democrats in Congress have called for a federal investigation into the role Goldman Sachs played in the collapse of Silicon Valley Bank, and urged regulators to examine whether the investment bank’s profits handling a $21bn trade for SVB should be repossessed.

“As Goldman Sachs is poised to profit from SVB’s failure, we strongly urge you to analyse whether Goldman Sachs operated at ‘arm’s length’ in their role as adviser for SVB,” the lawmakers wrote in a letter on Friday addressed to US attorney-general Merrick Garland, Securities and Exchange Commission chair Gary Gensler and Martin Gruenberg, chair of the Federal Deposit Insurance Corporation.