Currently, processing money from sales of marijuana puts federally insured banks at risk of drug racketeering charges. Because of the fear of criminal prosecution, financial institutions often refuse to let marijuana-related businesses open accounts. According to CBS News, that might be changing very soon. CBS reports that the Attorney General Eric Holder released that the Obama administration is planning to roll out regulations soon, that would allow banks to do business with sellers of legal marijuana. Attorney General Eric Holder spoke during an interview with Douglas Blackmon at the Miller Center on the Grounds of the University of Virginia in Charlottesville. The interview with the attorney general occurred during a taping of American Forum, a weekly public-affairs program that airs on public television across the country.
Banks are reluctant to do business with marijuana businesses given the drug’s outlaw status federally. The issue has been gaining a lot more public attention ever since Colorado and Washington have become the first states to legalize recreational use of marijuana. In addition to Colorado and Washington, 18 other states and the District of Columbia allow some legal use of marijuana, primarily for medicinal purposes. The recreational marijuana business is a multimillion-dollar industry. Certainly marijuana enthusiasts will be delighted to see more businesses support their lifestyle-choice. If banks aren’t penalized, and regulations support the industry, then who knows, perhaps soon we’ll have investment grade marijuana.
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