A federal judge sanctioned the Consumer Financial Protection Bureau on Friday by dismissing a massive lawsuit against several payment processors and admonishing the agency for acting "in bad faith."

U.S. District Judge Richard W. Story in Atlanta wrote in a 23-page opinion that the CFPB had failed to provide a knowledgeable witness in depositions in the case. The judge also said the bureau showed a "willful disregard" for, and "an unwillingness to comply" with, the court's instructions.

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