WASHINGTON, April 24 Wells Fargo & Co
has presented the Federal Reserve with a satisfactory plan on
how to unwind its business in case of bankruptcy, the U.S.
central bank said on Monday.
The resolution plan, or "living will", is required of the
nation's largest banks and is meant to help prevent a future
In December, the Fed and Federal Deposit Insurance
Corporation notified Wells Fargo that the bank's plan fell
short. In its Monday announcement, the regulators said Wells
Fargo has "adequately remedied the deficiencies."
Living wills for banks were conceived in the wake of the
2008 financial meltdown when the downfall of several Wall Street
banks sent shockwaves through global markets.
U.S. taxpayers had to prop up banks that were deemed "too
big to fail" and Congress vowed that such a rescue would not
(Reporting by Patrick Rucker; Editing by Meredith Mazzilli and