A federal appeals court handed the Treasury Department - and by extension major banks - a stunning defeat in a case challenging the awarding of electronic benefits transfer contracts.

Reversing a September 1995 decision by a lower court, the U.S. Court of Appeals for the District of Columbia said the Treasury Department had illegally required that banks be the primary contractors for delivering welfare and food stamp payments through networks of electronic terminals.

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.