WASHINGTON — Federal regulators rejected plans by Citigroup Inc. and four other large U.S. banks for dividend payments and stock buybacks after the latest round of stress tests.
The results raised concerns about weaknesses in the risk-planning processes of Citi and three of the banks, the Federal Reserve said Wednesday. It was the second time in three years that Citi failed a federal stress test.
Citi's chief executive, Michael Corbat, said he was "deeply disappointed" by the Fed's findings, asserting that the nation's third-largest bank by assets was "one of the best-capitalized financial institutions in the world."
Corbat complained that,...