Washington Mutual’s holding company filed for bankruptcy in 2008 after regulators seized its banking subsidiary during the financial crisis.
Washington Mutual Bank, commonly called WaMu, was seized by the Office of Thrift Supervision on September 25, 2008. JPMorgan Chase purchased the bank’s deposits, branches, and other assets from the Federal Deposit Insurance Corporation. The holding company, Washington Mutual, Inc., was left with substantial liabilities and filed for Chapter 11 protection on September 26.
The case is easy to confuse with the bank seizure itself. JPMorgan acquired the operating bank, while the separate holding company proceeded through bankruptcy. WaMu’s failure was the largest U.S. bank failure at the time, measured by the bank’s assets.