Goldman Sachs in New York said that U.S. agencies are looking into its dealings with SVB Financial leading up to the March seizure of Silicon Valley Bank.
The investment bank disclosed in its quarterly filing that it is “cooperating with and providing information to various governmental bodies.” The filing did not disclose which agencies were looking into the matter.
Goldman was one of the underwriters of a proposed capital raise for SVB. It also bought a large portfolio of underwater securities from the California banking company.
The probes include Goldman’s “business with SVB in or around March 2023, when SVB engaged the firm to assist with a proposed capital raise and SVB sold the firm a portfolio of securities.”
SVB’s disclosure that it sold $21 billion of U.S. securities at a $1.8 billion loss triggered a flight of deposits that led to the bank’s failure.