US Government allows banks to do business with state-licensed marijuana businesses
Last edited Fri Feb 14, 2014, 11:31 PM - Edit history (1)
The U.S. Department of Justice (DOJ) and the U.S. Treasury Department issued a memorandum to prosecutors on Friday that will allow banks to legally provide financial services to state-licensed marijuana businesses, although banks remain hesitant despite the new protections.
The memorandum, from the Justice Department and the Treasury’s Financial Crimes Enforcement Network (FinCEN), advises prosecutors that banks are allowed to do business with legal marijuana sellers without fear of prosecution and without fear of violating federal money laundering or terrorism financing laws, as long as the company does not violate federal law.
“The Department shares the concerns of public officials and law enforcement about the public safety risks associated with businesses that handle significant amounts of cash,” said Justice Department spokeswoman Allison Price. “These guidelines, together with the Treasury Department’s guidance to financial institutions, are intended to increase the availability of financial services for marijuana businesses – that are licensed and regulated – while at the same time preserving and enhancing important law enforcement tools.”
The guidance specified that legal marijuana businesses are only eligible for financial assistance if they fall into eight specific criteria. Eligible business must not distribute to children, must not traffic by cartels, must not use violence or firearms in the cultivation and distribution of marijuana, and must not traffic to states where marijuana use is illegal, among various other criteria.
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http://dlvr.it/4wyFQT
This is important. These businesses had no place to put their money. This was making it extremely dangerous for them. It was a terrible situation IMO.
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