WASHINGTON The Federal Reserve Board on Monday asked Bank of America to resubmit its capital plan and halt any planned distributions.
The central bank, which only recently completed its annual stress test exercise of the largest financial institutions, said the bank provided incorrect data used to calculate its regulatory capital ratios under the test.
"Bank of America must address the quantitative errors in its regulatory capital calculations as part of the resubmission and must undertake a review of its regulatory capital reporting to help ensure there are no further errors," the Fed said in a press release.
The Fed has the power to require any of the 30 banks that participate in the yearly Comprehensive Capital Analysis and Review to resubmit its capital plan at any time. Bank of America must comply with the request within 30 days.
In March, the Fed denied five firms' capital plans, including Citigroup Inc., HSBC North America, RBS Citizens Financial and Santander for "qualitative" reasons. The fifth firm, Zions Bancorp, failed to meet the Fed's minimum Tier 1 common capital ratio.