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US regulators find flaws with major banks’ bankruptcy plans; EU sanctions hit Russian LNG and financial institutions

Plus: EU leaders push for capital market progress by year-end, and more
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US regulators find flaws with major banks’ bankruptcy plans; EU sanctions hit Russian LNG and financial institutionsImage: Reuters/Brendan McDermid/FT

US financial regulators have identified weaknesses in the plans submitted by Bank of America, Citigroup, Goldman Sachs and JPMorgan concerning their procedures for winding down operations in the event of bankruptcy.

The Federal Reserve and Federal Deposit Insurance Corporation said on Friday that they found shortcomings in the “living wills” of these banks, particularly in regard to their derivatives portfolios. 

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