The open letter was signed by Senators Roger Marshall, Elizabeth Warren and John Kennedy. The text alleges that Silvergate Capital gave a short and evasive response to a previous request, citing confidentiality of information.. Senators say this explanation is unacceptable.. Members of Congress believe that Silvergate is simply hiding the details of its involvement in the affairs of FTX.
“The public and Congress have the right to know all the information to understand Silvergate's role in the FTX fraud cases, especially since the company has received billions of dollars of loans from the Federal Home Loan Banks,” the statement said.
In the new letter, the senators demand that all the missing answers be provided, including information about the methods of conducting due diligence of the company and who specifically participated in the criminal schemes.. The company has until February 13. What sanctions or fines for silence will follow, the letter does not say.
Silvergate previously reported a $1 billion net loss, which came to common shareholders in the fourth quarter of 2022.