Federal regulators moved to lift an unprecedented punishment that had handcuffed growth at Wells Fargo, a milestone in the bank’s efforts to repair its tarnished reputation after its fake-accounts scandal erupted nearly a decade ago.

Wells Fargo & Co. finally escaped a Federal Reserve asset cap that has restricted its size for more than seven years, unleashing the firm from the unprecedented punishment in a major win for Chief Executive Officer Charlie Scharf.

The San Francisco-based bank had long sought the move that was holding back its growth. Its CEO called it a “pivotal milestone.”