Banking and Lending

Marijuana businesses looking to stash their cash face tight regulation in the banking industry, with federal regulators requiring banks to file “marijuana limited” suspicious activity reports; proposals for cannabis credit coops are stymied by the need for approval from the Federal Reserve.

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Cash on Hand: The Cannabis Business and Banking

By Robert l. Elam

Most marijuana businesses are currently denied access to banking services, largely because financial institutions, fearful of potential money laundering, criminal charges, or losing their FDIC coverage, refuse to offer them. Robert Elam explores this problem and the efforts that have been made to address it, in the latest issue of CEB's California Business Law Reporter.

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