Washington turns to Wall Street to help rescue dying bank

By KEN SWEET and FATIMA HUSSEIN
Associated Press

In a scene reminiscent of the last financial crisis, the federal government turned to Wall Street this week for help with a blossoming emergency in the banking sector. The anxiety centered on First Republic Bank in San Francisco, which was reeling after customers withdrew billions of dollars. The result was a swift agreement among the nation’s leading banks to lay aside competitive instincts to come to First Republic’s aid. With Washington greasing the wheels, a coalition of lenders put $30 billion in uninsured deposits into the California-based bank as a show of support. The money gives First Republic a lifeline while it reportedly seeks a buyer.