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Several executives of Silvergate Bank have faced legal and regulatory consequences following the bank’s collapse.
Here’s what happened to some of them:
* Alan Lane (Former CEO): The SEC charged Alan Lane with misleading investors about the effectiveness of Silvergate’s Bank Secrecy Act/Anti-Money Laundering (BSA/AML) compliance program and the monitoring of crypto customers, including FTX. Without admitting or denying the allegations, Lane agreed to a settlement that includes a permanent injunction, a five-year officer-and-director bar, and a civil penalty of $1 million. He also stepped down from his role as CEO.
* Kathleen Fraher (Former Chief Risk Officer): Fraher was also charged by the SEC for misleading investors regarding the BSA/AML compliance program. She settled the charges without admitting or denying the allegations, agreeing to a permanent injunction, a five-year officer-and-director bar, and a civil penalty of $250,000.
* Antonio Martino (Former Chief Financial Officer): The SEC charged Martino with misleading investors about the company’s losses from expected securities sales following FTX’s collapse. Unlike Lane and Fraher, Martino has not settled these charges and is reportedly seeking to have accounting claims against him dismissed. He has also departed from his role as CFO.
In addition to individual actions, Silvergate Capital Corporation, the parent company, agreed to a $37.5 million class-action settlement with its shareholders. This settlement, which is part of the Chapter 11 bankruptcy proceedings, resolves allegations that Silvergate misled investors about the impact of the FTX collapse. While agreeing to the settlement, Silvergate Capital Corp. and several former executives, including Alan Lane and Antonio Martino, have not admitted any liability or wrongdoing.

Video courtesy of Interactive Brokershome

Video courtesy of Interactive Brokers