By NCIA
|
February 21, 2014

Banks balk on marijuana money despite US guidelines | CNBC


The Obama administration has sent a message to the nation’s bankers: Even though the sale of marijuana is a federal crime, they can provide service to this new industry without fear of prosecution, but only if the bankers follow a detailed list of guidelines.

The National Cannabis Industry Association believes it’s too soon to know what effect the new guidance will have. The association has praised the feds for providing a roadmap for financial institutions that want to work with legal marijuana businesses.

“We don’t need every bank in America or even every bank in Colorado and Washington to suddenly start offering accounts to our businesses,” said Deputy Director Taylor West. “I think there will be some very smart banks and credit unions that will recognize that this is a potentially valuable new industry for them.”

And that may happen—eventually.

Steve Hudak, spokesman for the Financial Crimes Enforcement Network at the Treasury, told CNBC that in preparing its guidance, the agency learned that there are financial institutions interested in accepting this business.

“Let’s give it some time and see if they come forward,” Hudak said. “We tried to make it clear that financial institutions can offer services to these businesses and still comply with their obligations under the Bank Secrecy Act.”

Read more: Banks balk on marijuana money despite US guidelines | CNBC

Governor: Colorado pot market exceeds tax hopes | Associated Press

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