According to disclosure documents, Democratic Florida Representative Lois Frankel reportedly sold First Republic Bank shares as its share price fell and acquired JPMorgan stock just before the bank bought First Republic.
According to a periodic transaction report submitted on April 28, Frankel sold between $1,001 and $15,000 worth of First Republic shares on March 16 and bought between $1,001 and $15,000 worth of JPMorgan stock on March 22.
The Stop Trading on Congressional Knowledge (STOCK) Act of 2012, which was created to stop Congressional legislators from engaging in insider trading, requires that the transaction reports be submitted on time.
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.
According to the study, her First Republic shares was a holding within a Morgan Stanley IRA account that was overseen by MFS Investment Management.
The JPMorgan stock is a portion of another Morgan Stanley IRA that Anchor Capital Advisors LLC is in charge of.
According to First Republic Bank’s April 24 earnings report, after the bank lost $100 billion in deposits, federal regulators took control of the institution and sold it to JPMorgan on Monday.
The collapse of First Republic, which was the 14th-largest commercial bank in the United States, is now the second-largest financial crisis in American history, surpassing the March failure of Silicon Valley Bank.
The Federal Deposit Insurance Corporation (FDIC) claimed that it purchased First Republic and then sold it to JP Morgan for a price of $13 billion.