BNP Paribas, HSBC, RBS have living wills rejected as inadequate by US

摘要

Living wills submitted by bnp paribas, hsbc and the royal bank of scotland were tagged by the Federal Reserve Board and the Federal Deposit Insurance Corporation for shortcomings, including the danger posed by derivative contracts that could not be resolved under the US bankruptcy code. In a statement, the Fed and FDIC warned that the banks would need to make sure financial contracts, including swaps entered into by their US affiliates, provide for a stay of early termination rights in the event of a bankruptcy.