This week, Florida Representative Lois Frankel revealed that members of Congress are prone to insider trading. According to her disclosure forms, she sold her First Republic Bank shares before the bank's share price dropped. Then, six days later, she bought shares in JPMorgan.
It’s not surprising that Frankel made a significant investment in the bank that will be acquiring First Republic. Since Capitol Hill is full of politicians who want to pass legislation that would restrict the activities of financial firms, it’s clear that they don’t care about the well-being of American taxpayers. Instead, they’re more concerned with their own interests.
BREAKING NEWS: Another Congressman literally traded banking stocks again.
Lois Frankel sold $FRC on March 16th, avoiding the remaining 80% drop.
She THEN BOUGHT $JPM, the bank buying FRC on March 22nd.
— unusual_whales (@unusual_whales) May 1, 2023
Regulators seized control of the country's 14th-largest bank, First Republic Bank, after it lost about $100 billion in deposits. It was the second-largest financial collapse in US history, following the collapse of Silicon Valley Bank in March.
Surprise, it was JPMorgan Chase that took over the failed bank. The Federal Deposit Insurance Corp. was the buyer, paying $13 billion for First Republic. In addition, the company was provided with a $50 billion line of credit from the agency.
Although her office has not responded to the issue, it's clear that Frankel's actions have been influenced by the actions of the Republican-led Securities and Exchange Commission. It's time for her to step aside and allow other people to do the right thing by the American people.
Source: The Daily Caller