INDIANAPOLIS (AP) —
Indiana's Court of Appeals has upheld a judge's finding that IBM owes the
state $78 million in damages stemming from the company's failed effort to
automate much of the state's welfare services.
affirmed Marion Superior Court Judge Heather Welch's August 2017 award to
the state, but it also found that IBM is entitled to interest on nearly $50
million in state fees that Welch ruled Indiana owes the company. The court
left it to Welch to calculate that interest.
immediately respond to a request for comment.
John Maley, an
attorney representing Indiana, says he'll discuss the ruling with state
Indiana and IBM sued each other in 2010 after then-Gov. Mitch Daniels
cancelled the state's $1.3 billion contract with IBM to privatize and
automate the processing of welfare applications.