SEATTLE (AP) — For marijuana dispensaries around the country, the days of doing business in cash — driving around with bill-stuffed envelopes to pay the rent, or showing up at a state revenue office with $20,000 in paper bags for the tax man — can’t end soon enough.
It’s not clear that the Obama administration’s new guidance on pot-related banking is going to end them.
The Justice and Treasury Departments on Friday issued banks a road map for doing business with marijuana firms. The security-wary pot industry, including recreational shops in Colorado and medical marijuana operators elsewhere, welcomed the long-awaited news, but banking industry groups made clear that the administration’s tone didn’t make them feel much easier about taking pot money.
The banks were hoping the announcement would relieve them of the threat of prosecution should they open accounts for marijuana businesses, Don Childears, president of the Colorado Bankers Association, said in a written statement. It doesn’t.
“After a series of red lights, we expected this guidance to be a yellow one,” Childears said. “At best, this amounts to ‘serve these customers at your own risk’ and it emphasizes all of the risks. This light is red.”
In union vote, United Auto Workers fall 87 votes short of key victory in South
CHATTANOOGA, Tenn. (AP) — Just 87 votes at the Volkswagen plant in Tennessee separated the United Auto Workers union from what would have been its first successful organization of workers at a foreign automaker in the South.
Instead of celebrating a potential watershed moment for labor politics in the region, UAW supporters were left crestfallen by the 712-626 vote against union representation in the election that ended Friday night.
The result stunned many labor experts who expected a UAW win because Volkswagen tacitly endorsed the union and even allowed organizers into the Chattanooga factory to make sales pitches.