Slip your mind, Gavin? Newsom praises SVB bailout but fails to say three of his wineries are clients
California Governor Gavin Newsom praised Biden’s decision to bail out Silicon Valley Bank, but failed to mention that three of his Napa Valley wineries are listed as clients of the company.
Newsom’s wife Jennifer Siebel also received a $100,000 donation from SVB to her gender equality charity California Partners Project in 2021 – at the request of her husband.
Yet the Democrat mentioned none of these financial ties when he issued a statement Monday claiming that Biden had “calmed the nerves” by promising every Silicon Valley Bank client would get their money back in full.
Three of Newsom’s wineries – Cade, Odette and PlumpJack – are listed as clients on SVB’s websites, while sources say he also had personal accounts with the bank, according to sources. The interception.
That is what representatives of the politician say to the news site the wineries were placed in a “blind faith,” meaning he knew nothing about the investment holding companies therein.
Gavin Newsom praised Biden’s decision to bail out Silicon Valley Bank, but failed to mention that three of his Napa Valley wineries are listed as clients of the company. He is pictured with his wife Jennifer Siebel
Newsom also solicited $100,000 in donations from SVB to Siebel’s California Project Partners charity. They are pictured with President Biden in 2021
But Newsom — a millionaire whose business affairs have long come under scrutiny — has also “taxed” four payments from Silicon Valley Bank, worth $25,000 each, to be donated to the California Partners Project in 2021.
Demand payments are donations made to a government agency or charity at the request of an elected official.
The practice is rarely practiced by politicians, but in 2020 Newsom came under fire for commanding an eye-watering $226 million in payments.
SVB is still listed as a partner on the California Partners Project website.
John China, president of SVB Capital and responsible for SVB’s fund management, is also a founding member of the charity and sits on the board of directors.
The charity “defends gender equality statewide and safeguards our state’s media and technology industries,” according to its website.
Newsom also allegedly held personal accounts with the SVB, according to The Intercept magazine, which claims to have spoken to an unnamed source who was a long-time employee of the governor and handled his finances.
The Siebel charity still lists SVB as a partner on its website
Newsom, left, is pictured with Gordon Getty and Oakland Mayor Jerry Brown at his PlumpJack Winery in Oakville in 2004
The PlumpJack winery is one of three Newsom companies listed as SVB customers
The Odette estate, pictured, is another Newsom winery associated with the bank
The revelations come after SVB became the biggest bankrupt bank since the 2008 financial crash.
Federal regulators have since devised a plan to cover $175 billion in deposits — though Biden has repeatedly insisted that taxpayers will not pay for a bailout.
Previously, only deposits worth $250,000 were protected by Federal Deposit Insurance, but this limit has now been waived.
On Monday, Newsom praised the move, claiming it had ‘calmed the nerves’.
“The Biden administration has acted quickly and decisively to protect the U.S. economy and strengthen public confidence in our banking system.
“Their actions this weekend calmed nerves and had a very positive impact on California — on our small businesses that can now make the payroll, employees that will pay their salaries, on affordable housing projects that can continue building, and on non-profit organizations they can stay their doors will open tomorrow.’
Newsom added on Monday that he had been in touch with officials about the collapse.
“For the past 48 hours I have been in contact with the highest levels of leadership in the White House and Treasury,” he said.
The governor’s business affairs have been the subject of headlines since he took office.
He owns the PlumpJack group which includes hotels, wineries, bars, restaurants and liquor stores throughout California.
Silicon Valley Bank last week became the largest bank to fail since the 2008 financial crisis
During his 2018 election campaign, he was asked if he wanted to sell his businesses, to which he replied, “These are my babies, my life, my family, I can’t.” I can’t sell them.’
Instead, he placed them in a blind trust that would be overseen by attorney Shyla Hendrickson.
His sister Hilary Newsom serves as president of the PlumpJack group.
President Trump also placed his companies in a blind trust to be run by his sons.
Newsom’s team did not immediately respond to a request for comment from dailymail.com.
But spokesman Nathan Click told The Intercept: “Governor Newsom’s business and financial interests are held and administered by a blind trust, as they have been since he was first elected governor in 2018.”