The Connecticut Banking Department lost the first round Tuesday in its legal challenge of the federal government's controversial "30-mile rule."

A U.S. district judge in Hartford, Conn., denied the state agency a temporary injunction to bar Fleet Financial Group Inc. from consolidating five of its banks in Connecticut, Massachusetts, and Rhode Island by moving their headquarters 30 miles or less across a state line.

Limited Time Offer

Save $400 off your subscription. Special offer ends April 30, 2017.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.