Marijuana Banking Bill House Floor Vote

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The Marijuana Banking Bill House Floor vote this afternoon

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The following is a reaction, statement from Lauri Kibby, co-founder and chief financial officer of Kings Garden, a private, profitable cannabis cultivation, processing, and manufacturing company based in California's Coachella Valley:

The Need For Marijuana Banking Bill

"This legislation is needed to make clear that banks can legally work with cannabis companies, free from worry about excessive regulation or fines. Currently, most banks do not work with cannabis companies because of such concerns. As a result, businesses, workers and communities in several states must deal in piles of cash because of the conflicts between state and federal law. This creates logistical challenges and, for many, threats to safety. Businesses that house large sums of cash are obviously vulnerable to robberies."

"The SAFE Banking Act is not a panacea. But if signed into law, it would ensure that financial institutions could take on cannabis business clients without facing federal penalties. The legislation also requires federal regulators to issue guidance to financial institutions on how best to work with cannabis companies, encouraging transparency and fairness while also providing banks more clarity on rules. The legislation should also provide more opportunity in the capital markets, given that U.S.-based investment banks and funds will gain clarity as well.”