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a change in federal law, banks that offer such services face The fiscal year ended on Sept. 30. Although existing
the risk of potential criminal charges by the DOJ, or civil marijuana protections are likely to be extended along
monetary penalties, cease and desist orders, fines and life- with the current fiscal year's funding until the Senate and
time bans against responsible individuals from working House agree on a final spending package for fiscal year
in the industry by federal regulators. 2017, the future of such protections remains in doubt.

Despite encouraging news in the past year, other recent The information contained in this article is for educational purposes
developments suggest that such wariness is warranted. In only. Please consult an attorney before relying upon it for your specific
both 2014 and 2015, Congress enacted amendments pro- legal needs. Theodore F. Monroe is an Attorney whose practice focuses
hibiting the DOJ from spending funds to prevent any state on the electronic payment and direct marketing industries. For more
from implementing its own laws authorizing the use, dis- information about this article or any other matter, e-mail him at mon-
tribution, possession or cultivation of medical marijuana. roe@tfmlaw.com or call him at 310-694-8161.

In August 2016, the Ninth Circuit Court of Appeals ex- Customized advertising
tended such protection for marijuana businesses by hold-
ing that these same appropriations riders prevent the DOJ company and budget.
from using such funds for the prosecution of individuals
engaged in conduct permitted by state medical marijuana *Print ( various sizes)
laws and who fully complied with such laws regarding *Online
use, distribution, possession and cultivation. However, *Video
the court emphasized that such protections are only tem-
porary. *Resource Guide

Flimsy protections (print/online/front page)

"Congress currently restricts the government from spend- *Email Blasts
ing certain funds to prosecute certain individuals," the *Spotlight Innovators Pages
court wrote. "But Congress could restore funding tomor-
row, a year from now, or four years from now, and the gov- *Bundle package
ernment could then prosecute individuals who committed discounts
offenses while the government lacked funding.
Call today!
Moreover, as of this writing, a presidential election looms
and a new administration could shift enforcement priori- 707-284-1686
ties to place greater emphasis on prosecuting marijuana
offenses. "Those admonitions should be taken seriously. Danielle Thorpe
Indeed, in April 2016, the Senate Appropriations Com-
mittee approved another amendment for fiscal year 2017 AVP Media Partnerships
barring use of DOJ funds to investigate and prosecute le-
gal marijuana businesses. Then, in June, the Senate Ap-
propriations Committee approved a separate amendment
prohibiting the Treasury Department from using funds to
prohibit or penalize financial institutions solely because
they provide financial services to state-legal marijuana
businesses.

Nonetheless, that same month, House Republicans
blocked a floor vote on the bank access amendment, and it
appears they may also block a vote on the former amend-
ment. Accordingly, there is uncertainty as to whether such
medical marijuana protections will make their way into
the final spending bill for fiscal year 2017.

Moreover, many believe New Jersey Governor Chris Chris-
tie is likely to be named attorney general in the event of a
Trump presidency. Should that happen, many marijuana-
related businesses and the banks that process for them
may well end up in the federal government's crosshairs.