WASHINGTON, June 21 - U.S. bank regulators dinged Bank of America, Citigroup, Goldman Sachs and JPMorgan Chase on Friday for shortcomings in required plans for how they could be safely resolved in bankruptcy, known as living wills.
The FDIC escalated its concerns with Citi's , opens new tab plan to a"deficiency," meaning the regulator found it not credible, but the Fed did not follow suit. If both regulators had found Citi's plan deficient, it would have been required to resubmit an improved plan and could potentially face additional regulatory restrictions. Reuters previously reported the FDIC would issue the deficiency.
"Our balance sheet and financial health remains strong, with high levels of capital, liquidity and reserves. We continue to have confidence that Citi could be resolved without the use of taxpayer funds or an adverse impact on the financial system," Citi said in a statement.