California Governor Begged For Bank Bailout, Turns Out He Was Protecting His Own Money

[The White House, Public domain, via Wikimedia Commons]

Gavin Newsom has spent much of his time being governor of California talking about what other governors are doing rather than focusing on his own state’s problems, like a failing electrical grid or massive lack of housing caused by his liberal policies.

After all, “a third of the U.S.’s entire homeless population and half of all unsheltered homeless people live in California – as the state grapples with a very visible crisis, according to estimates released at the end of 2022,” according to Fox News. 

When some commentators started speculating that Newsom was considering a run for 2024, the former mayor of San Francisco began attacking Florida Governor Ron DeSantis. Last July, the California governor began spending taxpayer funds to run commercials attacking DeSantis, in the tv spot, he urged “all of you living in Florida to join the fight. Or join us in California, where we still believe in freedom — freedom of speech, freedom to choose, freedom from hate and the freedom to love.’

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While Newsom pretends to be a standup guy, it’s now looking like he’s just another corrupt grifter, using his power to protect his own wealth at the expense of everyone else. His office issued a statement saying the governor had “been in touch with the highest levels of leadership at the White House and Treasury.” He said the goal was to “stabilize…the entire innovation ecosystem that has served as a tent pole for our economy.”

On Monday, he begged the White House to bail out the millionaires and billionaires who kept money in the risky Silicon Valley Bank. On Wednesday, it was revealed that he is one of those millionaires. 

Of course, he is. This is how most prominent Democrats appear to make their money while spending decades in elected office. Remember when the Pelosi family magically made millions on stock picks? 

The Intercept writes, “California Gov. Gavin Newsom praised the Biden administration’s decision to intervene on behalf of Silicon Valley Bank’s clients after the bank was taken over by the FDIC on Friday amid a bank run. The White House “acted swiftly and decisively to protect the American economy and strengthen public confidence in our banking system,” Newsom said in a statement. What Newsom didn’t mention is that it also protected his own companies if they held over $250,000 in deposits.

CADE, Odette, and PlumpJack, three wineries owned by Newsom, are listed as clients of SVB on the bank’s website. Newsom also maintained personal accounts at SVB for years, according to a longtime former employee of Newsom’s who handled his finances, and who requested anonymity to avoid professional reprisal.

Newsom also didn’t mention his wife Jennifer Siebel’s professional ties to the bank. In 2021, Silicon Valley Bank gave $100,000 to the charity founded by Siebel, the California Partners Project, at the request of Newsom. John China, president of SVB Capital and responsible for SVB’s funds management, is himself a founding member of the California Partners Project’s board of directors.

Newsom added on Monday that he had been in close contact with the administration about SVB. “Over the last 48 hours, I have been in touch with the highest levels of leadership at the White House and Treasury,” Newsom said of SVB’s collapse in a statement released on Saturday. Asked about the nature of the interactions, the governor’s deputy communications director Brandon Richards did not respond.”

“One of the hottest and biggest financial names in the world of tech faced a bank run and capital crisis that eventually led to it being taken over by federal regulators. Silicon Valley Bank became ‘the largest failure of a US bank since Washington Mutual went defunct in 2008, kicking off the financial panic of that year,’ according to America News Nation

Newsom was recently lambasted by The Washington Post Editorial Board for his culture war antics and obsession with abortion pills. The newspaper wrote, “Republicans aren’t the only ones finding opportunities to bully private companies in culture-war battles. For the latest example, see California Gov. Gavin Newsom’s axing of a $54 million contract with Walgreens over abortion. “We will leverage our market power to defend the right to choose,” Mr. Newsom (D) said in a statement — even though Walgreens is helping expand abortion access in California. This overreach will invite conservative retaliation and further cleave the economy along political lines.

For Mr. Newsom, Walgreens’s offense isn’t breaking the law but following it — specifically, declining to expand the distribution of an abortion pill, mifepristone, in states where it might not be legal to do so. (Even in some states where medication abortion is legal, state laws limit the way the drugs can be delivered.)

File this in the category of no good deed going unpunished. After the Dobbs Supreme Court decision eliminating the constitutional right to abortion, the Biden administration sought to increase options for women by loosening restrictions on mifepristone. The drug had been available only through specialty offices and clinics, but the Food and Drug Administration in January announced a new program that would allow ordinary pharmacies to dispense the medication in person and by mail.

That’s an abuse of government economic power. Yes, states have different cultural values and the leeway to structure their own public contracts. But that discretion should not extend to effectively ordering the companies with which they do business to disregard other states’ laws. Reaching beyond their own borders that way undermines America’s federal system.”

As California liberals like Gavin Newsom preen on about being pro-choice or “green” energy, they’re also partnering with places like Saudi Arabia.

[Read More: Ron DeSantis Makes Waves By Standing Up To Neo-Cons]


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