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To Bankers’ Doubts, FinCEN Clarifies Expectations for Marijuana Accounts
By Brian Monroe
printBanks can choose whether to keep accounts for certain marijuana dispensaries and report limited information to federal officials when the businesses are unlikely targets of prosecutors, the U.S. Treasury Department said Friday. In long-anticipated guidance, the department's Financial Crimes Enforcement Network (FinCEN) said that financial institutions can provide accounts for the companies after vetting their operations against a U.S. Justice Department memorandum issued in August that outlined when federal officials would prosecute dispensaries deemed legal under state laws. But because financial institutions must comply with federal laws, they must also file suspicious activity reports (SARs) on the companies, the bureau...
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U.S. officials are drafting guidance for financial institutions concerned that accepting deposits from third-party companies serving state-licensed marijuana vendors may violate federal rules against money laundering, say sources.
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