Known to be the former long-time CEO of CKE Restaurants, –which just so happens to be the parent company of Carls’ Jr. and Hardee’s — Andy Puzder tore into President Biden in the wake of the collapse of California-based Silicon Valley Bank (SVB).
Puzder kicked off his harsh attack by stating that Biden had announced this past Monday that his administration would make sure to fully hold “accountable” whoever was fully responsible for the new financial crisis.
“He should first look in the mirror,” Puzder stated, going on to add, “the collapse of Silicon Valley Bank (SVB) and the ensuing hysteria lies at President Biden’s feet. … make no mistake – he created the conditions for today’s panic.”
Puzder highlighted the former White House economist for both Clinton and Obama, Larry Summer, who issued a warning back in 2021 that the $1.9 trillion “American Rescue Plan” from Biden threatened the economy and that it was the “least responsible” economic policy in 40 years. Puzder also cited the subsequent ironically-named “Inflation Reduction Act.”
“It’s also no surprise that SVB was the first bank to fail in this environment,” opined Puzder. “In fact, it is hard to ignore the irony of it. SVB – a west coast regional bank – filled it coffers with the deposits of Silicon Valley entrepreneurs, who were showered in billions of dollars of investments. In Biden’s over-heating economy, capital was easy to come by. But those who live by the sword, die by the sword.”
Puzder then highlighted that the Federal Reserve “inevitably raised interest rates to cool the economy and tame raging inflation,” prompting the holdings of SVB to drop in their value. He noted that the chief risk officer for SVB quite back in May of 2022 and a replacement did not get hired until close to nine months later, and over the course of that interim period “new deposits for SVB faltered. With no new cash coming in the bank doors, they should have recognized that they had a huge problem. But instead of taking action to correct course, the head of risk management for SVB’s UK branch was launching international equity and inclusion initiatives.”
Then Puzder turned his attention to the Biden administration, stating that the U.S. government regulators should not have gotten distracted, as the Financial Stability Oversight Council was set up in the wake of the 2008 crash as a way to “sound the alarm on lurking threats.” That council is now made up of Treasury Secretary Janet Yellen, Federal Reserve Chair Jay Powell, and Gary Gensler, head of the Securities and Exchange Commission.
“The council’s last meeting reveals urgent concerns over ‘climate-related financial risks,’ which the group identified as, ‘an emerging threat to U.S. financial stability,’” Puzder stated. “Not on their list of concerns – bank panics fueled by interest-rate driven portfolio losses.”
Puzder gave a node to a now pending new rule from the Labor Department which would “undermine a law that requires fund managers – like those overseeing 401k’s of millions of Americans – to pursue financial returns for their clients above political or social goals. The Biden rule would – you guessed it – make it easier for fund managers to advance left-wing causes, by insulating them from regulatory action if those investments fail.”
“If you think it’s far-fetched to believe that Biden administration would favor woke political and social imperatives over basic financial common sense – then think again,” he finished.
