Treasury Secretary Won’t Fix Marijuana Banking Problem With Administrative Action

Treasury Secretary Won’t Fix Marijuana Banking Problem With Administrative Action

Treasury Secretary Steven Mnuchin said on Wednesday that he will not take administrative action to protect banks that service marijuana businesses from being penalized by federal regulators, stating that it’s up to Congress to resolve the problem. During a hearing before the House Appropriations Financial Services and General Government Subcommittee, Rep. Charlie Crist (D-FL) pressed the secretary to use his authority to instruct regulators not to punish banks for working with state-legal cannabis businesses. “We have limited abilities [under existing guidance] to direct this issue,” the Mnuchin replied. “I would encourage Congress one way or another, without me making a policy view of dealing with this issue. The conflict is a problem. In which direction it is resolved I leave that to Congress and other experts.” Later in the hearing, Rep. David Joyce (R-OH) pressed Mnuchin on the issue, requesting that Treasury keep Congress updated on problems related to dealing with marijuana businesses under federal prohibition. The secretary again acknowledged that the ongoing conflict between federal and state marijuana laws creates “significant problems” for the Internal Revenue Service (IRS) and financial regulators. And he continued to implore Congress to take action. “I’m not making a policy view on this because that’s not in my lane as to the conflict between state law and federal law. What I would say is my lane—and again I’ll repeat this because I think it’s important—this creates significant problems for the IRS,” he said, adding that federal officials have had to create “cash rooms” to…

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Source : MJ moment
Link to original : Treasury Secretary Won’t Fix Marijuana Banking Problem With Administrative Action
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