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- The Federal Deposit Insurance Corporation is investigating potential misconduct by executives and board members of First Republic Bank, raising the prospect of stiff penalties for the failed bank's former bosses.
"We can confirm a D&O probe into First Republic is taking place," a spokesperson told Reuters, referring to the bank's directors and officers. The regulator did not provide further details. The investigation, which has not previously been reported, is the third the FDIC has opened into bank failures earlier this year which cost the federal government's deposit insurance fund about $32 billion.
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