Credit union designed to serve the state’s pot industry can’t take deposits or issue credit
The booming U.S. marijuana industry went to a federal judge Monday seeking an answer to the problem that has vexed business owners trying to emerge from the black market: Now that pot is legal and taxed in some states, why can’t they put the proceeds in a bank?
A Colorado credit union designed to serve the pot industry — Fourth Corner Credit Union — was challenging a decision by the U.S. Federal Reserve Bank of Kansas City to keep the pot bank from accessing the nation’s financial system. The feds’ rejection earlier this year means that the pot bank can’t take deposits or issue credit — leaving many marijuana businesses operating on a cash-only basis.
“What do you want us to do with the money?” cried an exasperated Mark Mason, lawyer for the credit union, which was chartered by Colorado last year but has been unable to start taking customers.
– Read the entire article at CBC News.