WASHINGTON — Regulators and the Bush administration were working Friday to fix technical problems with their plan to recapitalize the banking industry.

Chief among them was a fear that the government's plan to take warrants in banks could pose accounting problems, sources said. At issue is a determination by many bank executives that the warrants, which would be issued in return for a capital injection, are treated as liabilities under generally accepted accounting principles. That would have earnings implications for banks and could dent regulatory capital - the exact opposite of what the administration is hoping to accomplish.

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