> There's no difference between "FedWallet has declined your transaction" and "Citigroup has declined your transaction (in compliance with US law)." There is a

> There's no difference between "FedWallet has declined your transaction" and "Citigroup has declined your transaction (in compliance with US law)." There is a big difference. If FedWallet declines your transaction, you could sue under any of a number of fundamental constitutional rights that have been violated. If Citigroup decline your transaction, you have fewer recourses as they can hide behind being a private bussiness. If government regulations require or encourage Citigroup to decline your transactions, you still have fewer recoures, as the government can hide Citigroup. If the government makes an implicit threat to private corporations, like "deal with X yourself, or we will pass regulations to force you to", you have even less recourse. In effect, the government can significantly weaken judicial oversight by outsourcing policy to private corporations. This becomes less relevent in a system where judicial oversight has eroded. But, as you say, once you are at that point, nothing is stopping the government anyway.