Cannabis banking bill advances in U.S. House committee

Banks generally balk at servicing the marijuana industry for fear it could expose them to legal trouble from the federal government, which still considers marijuana illegal.

Posted: Mar 29, 2019 7:32 AM
Updated: Mar 29, 2019 10:16 AM

DENVER (AP) -- Proposed legislation that would provide federal protection for financial institutions that serve state-authorized marijuana and ancillary businesses has passed a U.S. House committee.

The Marijuana Business Daily reports the House Financial Services Committee voted 45-15 Thursday to advance the proposed bill after amending it to include provisions to provide a safe harbor for insurance companies and improve access of financial services to minority- and women-owned cannabis businesses.

The proposal now goes to the full House for consideration.

Banks generally balk at servicing the marijuana industry for fear it could expose them to legal trouble from the federal government, which still considers marijuana illegal.

As a result, a large portion of the fledgling industry is left to operate on a cash-only basis, which creates security, money laundering and other criminal concerns.

Article Comments

Eugene
Clear
56° wxIcon
Hi: 82° Lo: 53°
Feels Like: 56°
Corvallis
Clear
59° wxIcon
Hi: 77° Lo: 51°
Feels Like: 59°
Roseburg
Few Clouds
62° wxIcon
Hi: 80° Lo: 54°
Feels Like: 62°
North Bend
Overcast
63° wxIcon
Hi: 67° Lo: 54°
Feels Like: 63°
KEZI Radar
KEZI Temperatures
KEZI Planner

LATEST FORECAST

Community Events