Silicon Valley Bank paid out bonuses hours before seizure

Re:Silicon Valley Bank paid out bonuses hours before seizure by danpalmer on Saturday March 11, 2023 @05:24PM (#35113425)

It's not always that simple. Making several thousand payments totalling as much as $100m is not "clicking a button". The process of making those transfers could be days or even weeks long. Payroll processes and the actual transacting involved typically take at least a few days.

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Re:Silicon Valley Bank paid out bonuses hours before seizure by deepsun on Saturday March 11, 2023 @05:32PM (#35113481)

I clicked that "Pay Now" button in my business. Nothing really that complex there, once the amounts are calculated (usually by automated programs). The rest is just regular ACH transfers, which take 2 business days to clear.

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Re:Silicon Valley Bank paid out bonuses hours before seizure by JumpCrisscross on Saturday March 11, 2023 @05:47PM (#35113595)

> process of making those transfers could be days or even weeks long

Every payroll processor worth their salt has a big red abort button. Worst case: funds hit flagged and are then reversed.

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Re:Silicon Valley Bank paid out bonuses hours before seizure by thanksgiving on Saturday March 11, 2023 @06:09PM (#35113746)

Screw that. If the recipient of the bonus is CXO level or higher, I’d say the government has a duty to claw back this money.

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Re:Silicon Valley Bank paid out bonuses hours before seizure by danpalmer on Saturday March 11, 2023 @06:40PM (#35113986)

For that I would agree! They're directly responsible for this mess.

However almost every bonus is not a CXO bonus, and I think clawing those back would be the wrong decision, and could be quite harmful to many.

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