Goldman Sachs' Silicon Valley Bank Deal Under Scrutiny Amidst Payout Speculations

Goldman Sachs is facing scrutiny over its role in the collapse of Silicon Valley Bank. The bank bought a bond portfolio on which the lender had booked a $1.8 billion loss, while also trying to raise capital for the bank in its last days. Regulators took control of Silicon Valley Bank last week. In exchange for buying $21.4 billion of debt from Silicon Valley Bank, Goldman could make around $100 million. Goldman has not yet finished selling that debt, so it is unclear how much it will make. Legal experts and bankers say Goldman’s deal with Silicon Valley Bank is far from irregular, but it will almost certainly invite scrutiny given the speed at which Silicon Valley Bank fell and the dual roles that Goldman played for the bank in that fateful week.