ABA addresses senator’s concerns over cannabis banking bill

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The banking group wants federal lawmakers to pick up the pace on the SAFE Banking Act

One of the biggest opponents of any cannabis legislation to pass is a member of the Senate Banking Committee, Chairman Mike Crapo. Last month, Crapo raised his personal concerns regarding the SAFE Banking Act, which will allow cannabis-related industries to access banking services to operate, just like any other business. This bill has been endorsed by the American Bankers Association (ABA) and now this entity is urging Crapo to move forward and advance this Act or a similar one this year.

Crapo’s biggest concerns are about how this bill could affect public health, and safety, money laundering, and commerce among states. Last fall, a bipartisan force voted in favor of the SAFE Banking Act, and according to the ABA, “The SAFE Banking Act enjoys broad bipartisan support in large part because it eschews broader questions of cannabis regulation policy and instead focuses on the immediate practical needs that communities, law enforcement, and banks face today.”

Also in the same communication it was stated, “Quick bipartisan action to pass the SAFE Banking Act would provide a safer and more responsible status quo from which to tackle the challenging non-banking questions outlined in your December memo.”

To continue addressing Crapo’s concerns, the ABA said that the SAFE Banking Act is not the right path to follow to ensure public health ad that, “any attempt to regulate the state cannabis industry through its banking relationships sets a dangerous precedent for using access to banking services as a method to control the behavior and activity of an unrelated industry.” And, finally, to answer the money-laundering concern, ABA assured everyone that the bill could help the Financial Crimes Enforcement Network in creating guidance that minimizes overreporting and better control of cannabis-related transactions.