
When Republic Bank failed in 2023, federal banking regulators orchestrated a sweetheart deal for JP Morgan Chase - the largest U.S. bank - to acquire the failed bank’s $230b in assets and $130b in deposits despite competing bids from well-managed smaller- and mid-sized banks. In addition, the FDIC agreed to cover 80% of net losses on behalf of JP Morgan.
Despite that cozy deal, JPMorgan Chase closed more than half of the failed bank's 84 branches and laid off over 1,000 employees.
Today, Democrats and Republicans in the House passed my Failing Bank Acquisition Fairness Act that strips that advantage from Mega banks like JPMorgan Chase and creates a level playing field for small- and medium-sized banks while protecting depositors and businesses in impacted local communities.
@USHouseFSC
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