Pubdate: Mon, 28 Dec 2015
Source: Denver Post (CO)
Copyright: 2015 The Associated Press
Contact:  http://www.denverpost.com/
Details: http://www.mapinc.org/media/122
Author: Kristin Wyatt, The Associated Press

COLORADO POT BANK CASE TESTS FEDERAL DRUG RULES

A marijuana banking case set for arguments Monday is testing the 
federal government's stated goal of addressing the cash-only nature 
of the quasi-legal pot industry. But should pot sellers be able to 
use the nation's banking system as long as marijuana is an illegal 
drug? It's a question before a federal judge trying to weigh a 
Colorado-chartered bank's attempt to force the U.S. Federal Reserve 
to let those pot shops access the nation's banking system.

"Even transporting or transmitting funds known to have been derived 
from the distribution of marijuana is illegal," the Federal Reserve 
said a motion filed in October in U.S. District Court in Denver.

The case involves Fourth Corner Credit Union, which Colorado set up 
last year to serve the state's now more than $1 billiona-year 
marijuana industry. Federal banking regulators have issued guidelines 
to banks to accept money from pot sales, but banks say those 
guidelines are unwieldy and that leaves many pot shops stuck trying 
to pay bills and taxes in cash.

Marijuana Industry Group executive director Michael Elliott said 
Congress needs to pass a law so pot is no longer classified as a 
dangerous, Schedule I drug.
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MAP posted-by: Jay Bergstrom