And in the case of FDIC, evidence of gross malfeasance on the part of the bank would likely result in a seizure of the bank and its assets. The FDIC then become

And in the case of FDIC, evidence of gross malfeasance on the part of the bank would likely result in a seizure of the bank and its assets. The FDIC then becomes the "receiver"[1], entrusted with ensuring as many of remaining funds can be returned, and any covered and outstanding amount paid by the insurance. [1] https://www.fdic.gov/about/strategic/strategic/receivership.html https://www.fdic.gov/about/strategic/strategic/receivership....