Trending Stories
JPMorgan’s Jamie Dimon plays key role in bank rescue, in echo of 2008
Source: AFP
Consulted by policymakers and able to nudge his peers into action, JPMorgan Chase CEO Jamie Dimon played a key role in a bank rescue effort this week — a situation sparking reminders of 2008.
Following the swift collapse of Silicon Valley Bank and Signature Bank, there have been fears that regional lender First Republic Bank could be the next domino to fall — despite moves by agencies like the Treasury Department and Federal Reserve to assure SVB and Signature’s depositors.
While First Republic is not yet out of the woods, it was given a lifeline on Thursday as 11 major US banks pledged to deposit $30 billion into the lender.
And Dimon, 67, played an important role in the plan.
He spoke on the phone this week with Treasury Secretary Janet Yellen and Fed Chair Jerome Powell, as the leaders sought to find a way to boost confidence in the financial system, according to three sources close to the discussions.
‘Revered’ by peers
As the crisis unraveled last Friday with SVB closed down by the authority, threatening contagion, Dimon also met in his office with Deputy Treasury Secretary Wally Adeyemo, according to the New York Times.
PAY ATTENTION: Follow us on Instagram – get the most important news directly in your favourite app!
On Sunday, authorities set out plans to ensure SVB customers would be able to access their deposits, while the Fed introduced a new lending tool for banks in an effort to prevent a repeat of SVB’s quick demise.
President Joe Biden sought the day after to reassure Americans that the banking system is safe, but the situation remained fragile.
Yellen raised the idea of major banks stepping in together, said a source familiar with the matter.
But it took the efforts of both Dimon and Yellen, from Tuesday to Thursday, to persuade CEOs to come on board and deposit billions of dollars into First Republic to shore up the bank.
Bank of America, Citigroup and Wells Fargo first came on board, followed by the others.
During the process, White House chief of staff Jeff Zients and National Economic Council director Lael Brainard were kept informed, the source said.
Dimon is “revered by his peers,” said Yale School of Management professor Jeffrey Sonnenfeld.
“He speaks with expertise, authority and rare clarity,” Sonnenfeld said, adding that Dimon has been in the industry for a long time.
Dimon, who has led JPMorgan since 2005, is the last remaining boss of a major bank still in place after the 2008 financial crisis.
“Nobody else has that authority, that credibility,” he said. “Everybody takes Jamie Dimon’s phone calls, especially in the world of finance.”
Echoes of 2008
Dimon, who helms the largest US bank by assets, also came to the rescue in the 2008 financial crisis by buying Bear Stearns and some assets of Washington Mutual.
Under his leadership, JPMorgan Chase weathered the crisis better than many others.
While the acquisitions helped JPMorgan grow, they also earned a flurry of complaints from authorities and shareholders relating to toxic financial products recovered in the process, along with billions in legal costs.
Dimon himself has come to rue the Bear Stearns deal.
While there was no question this time of taking over a troubled bank, Dimon met with Yellen on Thursday afternoon after her appearance at a Senate hearing.
The aim was to discuss the final details of a plan that would eventually see 11 major banks put together deposits of $30 billion into First Republic.
Despite the latest lifeline, shares of First Republic remained down by around 33 percent at 1930 GMT, signaling lingering worries over the financial sector.
Source: AFP
- Chief Justice of Nigeria (CJN) Justice Kayode Ariwoola was spotted in Abuja on Friday, March 24
- The CJN was seen leaving the Supreme Court in Abuja for the usual Friday prayers amid claims that he is in London with Bola Ahmed Tinubu
- This latest update dismisses the unfounded speculation that Tinubu is trying to buy Ariwoola’s heart as the head of Nigeria’s judiciary
Amid rumours that he was in a private meeting with President-elect Asiwaju Bola Ahmed Tinubu, Chief Justice of Nigeria (CJN) Justice Kayode Ariwoola has been spotted in Abuja.
CJN Ariwoola, according to Channels TV, was seen on Friday, March 24, leaving the Supreme Court for the Ansar-Ud-Deen Central Mosque in Abuja to observe his prayers.
Source: Twitter
The speculations that Ariwoola is in London with Tinubu are fuelling suspicion that the latter is making smart moves to buy the former’s heart while court cases surrounding the outcome of the presidential election abound.
PAY ATTENTION: Join Legit.ng Telegram channel! Never miss important updates!
Presidential election tribunal: Did Tinubu, CJN Ariwoola meet in UK? Fresh details emerge
Amid several news reports about a meeting between Nigeria’s president-elect, Bola Tinubu and the Chief Justice of Nigeria (CJN), Justice Kayode Ariwoola, in the United Kingdom, Ahmed Raji (SAN) has dismissed such claims.
Raji said the reports were false and were an attempt to mar the image of the Supreme Court of Justice.
As reported by the Nigerian Tribune, Raji revealed on Thursday, March 23, that Justice Ariwoola was indeed in the United Kingdom but was there only on medical leave but returned to Nigeria in the early hours of Thursday.
Meanwhile, a series of reports confirmed that Tinubu had left the country on health grounds as well.
Raji said:
“It is in the news since Tuesday evening that Tinubu was travelling to Europe for medical reasons as well as for lesser hajj, further reports indicated that he is in France to meet with his medical doctor, why would somebody now link that to the CJN that has left Nigeria for the UK since Saturday to observe his own medical session and just came back today (Thursday) as meeting?”
Source: Legit.ng
Trending Stories
Jubilation as Court of Appeal gives verdict on PDP’s suit seeking to disqualify Tinubu, Shettima, awards N5m fine
- President-elect Bola Tinubu secured another victory at the Court of Appeal in Abuja on Monday, March 24
- The Peoples Democratic Party (PDP) had asked the appellate court to disqualify Tinubu and the vice president-elect Kashim Shettima, claiming they were not properly nominated
- However, the court dismissed the suit for lacking in merit and awarded a fine of N5 million against the PDP
FCT, Abuja – The Court of Appeal in Abuja has dismissed a suit by the Peoples Democratic Party (PDP) seeking to disqualify the president-elect, Bola Tinubu and the vice president-elect, Kashim Shettima, from participating in the February 25 presidential election.
In the unanimous judgement delivered by Justice Danlami Senchi, the appellate court dismissed the appeal for lacking merit, Nigerian Tribune reported.
Source: Facebook
Justice Senchi described the appellant, that is the PDP, as a meddlesome interloper, holding that the court cannot be used to perform illegality.
He said the PDP failed to disclose that it has the legal right to institute the action.
PAY ATTENTION: Join Legit.ng Telegram channel! Never miss important updates!
“This appeal is of no merit and it is accordingly dismissed,” the court ruled and awarded a fine of N5 million against the PDP.
2023 presidency: What is the suit about?
The PDP, whose candidate, Atiku Abubakar, came second in the presidential election had contended that the APC candidate, Tinubu, who was declared the winner of the presidential contest, was legally ineligible to participate in the poll.
The party told the court that the manner the APC and Tinubu nominated Shettima as a Vice Presidential candidate for the election, was in gross breach of the provisions of the Electoral Act, 2022, as amended.
It claimed Shettima was nominated twice, both for the Vice Presidential position, as well as for the Borno Central Senatorial seat, an action it argued contravened the law.
The PDP had lost the case at the Federal High Court in Abuja before proceeding to the appellate court. Both INEC and APC were equally cited as Respondents in the appeal.
How the APC defended itself against PDP’s suit
Legit.ng gathers that Tinubu and Shettima, through their lawyers challenged the competence of the suit and the jurisdiction of the court to entertain it.
They contended that PDP was bereft of the locus standi (legal right) to institute the action against them.
According to them, no portion of the law conferred on the PDP, the right to dabble into the domestic affair of another political party, especially on the issue of the nomination of its candidates for an election.
The Federal High Court upheld the preliminary objection by Tinubu and Shettima and dismissed the suit for lacking in merit.
Court Orders Atiku, Peter Obi to serve petitions on Tinubu
In another report, Atiku Abubakar and Peter Obi of the PDP) and Labour Party (LP) have been granted permission to serve their petitions on Tinubu, Shettima and Kabir Masari through the APC.
The permission was granted alongside that of the Allied Peoples Movement (APM) by the Presidential Election Petition Court (PEPC).
Legit.ng gathers that the petitioners argued before the tribunal that Tinubu, the president-elect, was avoiding their petitions.
Source: Legit.ng
Source: AFP
President Joe Biden laid out a vision of world-leading US-Canadian economic cooperation in a speech to Canada’s parliament Friday, and announced that the giant neighbors had reached a deal on curbing illegal migration.
Standing ovations by Canadian lawmakers punctuated Biden’s roughly half-hour speech in Ottawa that was thick on praise for North American unity — a sentiment matched earlier when Prime Minister Justin Trudeau delivered his own address.
“Americans and Canadians are two peoples, two countries, in my view sharing one heart,” Biden said, getting cheers when he vowed Canada will “always be able to count on the United States.”
Biden signalled a resolution to one irritant in the close relationship, with a deal on managing the growing issue of undocumented migration on their lengthy border.
“The United States and Canada will work together to discourage unlawful border crossings,” he said. The arrangement will see undocumented asylum seekers crossing from the United States into Canada turned back, while Canada will simultaneously expand the pathway for legal entries.
The plan — similar to a crackdown on the much more heavily used US-Mexican border — has been criticized by migrants’ rights activists. However, Biden and Trudeau are both under political pressure to relieve their badly strained immigration systems and Biden said that regardless, “welcoming refugees and asylum seekers is a part of who Canadians and Americans are.”
PAY ATTENTION: Join Legit.ng Telegram channel! Never miss important updates!
Biden opened his speech with a nod to Canadian bilingualism, greeting parliamentarians with “good afternoon” and “bonjour” — joking that this was as far as he’d got in four years of French at school.
And the bonhomie flowed from then on.
Biden laid out a vision of the neighbors being ever more closely bound with the joint goal of building high-tech economies and reinforcing supply chains for things like critical minerals used in electric vehicle manufacturing.
“Canada and the United States can do big things,” he concluded to more cheering. “We’re going to write the future together.”
Trudeau earlier greeted Biden at the parliament building, saying Canada has “no greater friend and ally than the United States” — a message underlined through the gift to Biden of a chocolate bar from Peace by Chocolate, a brand started by Syrian refugees.
NORAD, China, Haiti
Source: AFP
Earlier face-to-face talks between Biden and Trudeau covered a range of areas where both sides are pushing for improvements.
The US government has been pressuring Canada to increase its defense spending, which in 2022 was just 1.33 percent of GDP. This is scheduled to rise to 1.59 percent from 2026, but that’s still well below the NATO alliance requirement of minimum two percent of GDP spending.
A joint statement said that Biden and Trudeau agreed to modernizing their countries’ joint air defense alliance, NORAD, with Canada putting billions of dollars into improved radar and fighter aircraft infrastructure.
A revamped NORAD will “defend against emerging threats to our air and sea space and compete with China and Russia for years to come,” the statement said.
The two leaders reaffirmed support for pro-Western Ukraine “for as long as it takes” in its war to push back Russian invasion, and also issued a warning to China.
“Canada and the United States acknowledge the serious long-term challenge to the international order posed by the People’s Republic of China, including disruptive actions such as economic coercion, non-market policies and practices, and human rights abuses,” the statement said.
“While we will cooperate with China in areas of mutual interest, such as on climate change, we remain committed to ensuring our ability to compete effectively with China on a level playing field.”
Closer to home, the two leaders said they “remain concerned about deteriorating security in Haiti,” but did not say whether progress had been made on long-discussed plans for an international intervention force to stabilize the chaotic Caribbean nation.
Source: AFP