Financial associations ask lawmakers to pass banking amendment in defense bill

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BANKS WANT SAFE

Financial associations ask lawmakers to pass banking amendment in defense bil

A group of financial institution associations have formally asked US lawmakers to approve Rep. Ed Perlmutter’s amendment to the National Defense Authorization Act that would protect banks that work with regulated cannabis companies, reports Marijuana Moment

The letter, addressed to Speaker Nancy Pelosi and Minority Leader Kevin McCarthy is signed by:

  • The Americans Bankers Association
  • The Credit Union National Association (CUNA)
  • The Independent Community Bankers of America
  • The National Association of Federally-Insured Credit Unions

“We take no position on legalizing or decriminalizing medicinal or recreational cannabis at either the state or federal level,” reads the letter. “However, financial institutions operating in states where it is legal have business and individuals involved in the cannabis market who need access to traditional depository and lending services, the absence of which creates a significant public safety issue.”


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TIGHT RULES IN TEXAS

Medical cannabis operators get creative within restrictive regulations

There are four times as many medical cannabis consumers in Texas since a year ago, and the providers in the space serving them say they’re having to creatively work within the current restrictive regulatory framework as they hope for reform in the near future, per MJBizDaily.

Currently, medical cannabis in the state is:

  • Capped at 1% THC
  • Tightly regulated under strict rules
  • Authorized for use to treat a very short list of conditions 
  • Competing with less-restricted neighbouring states like Texas and Oklahoma

Fall elections could see more cannabis-friendly politicians voted in. In the meantime, medical cannabis companies are getting creative, such as setting up delivery services, pop-ups and pick-up locations to bypass the state’s rule that operators can only store inventory as one location.

“We have to be creative because of the regulations,” said Morris Denton, CEO of Texas Original Compassionate Cultivation. “If we can’t figure out a way to be more efficient, then we’re only increasing our loss.”


CLOSING TIME

Major Michigan cannabis retailer closes four stores

Lume Cannabis Co., a giant in Michigan’s retail cannabis space with 30 stores, has closed four stores in the state, reports Cannabis Business Executive

Stores in Bay City, Christmas, Cheboygan and Southfield were closed on Monday, July 11. 

It’s all part of a strategy to be ”better aligned for future growth,” according to a statement released by the company.


STRICT MARKETING

Cellular Goods CEO says she wasn’t aware of CBD advertising barriers

A number of CBD brands including UK-based Cellular Goods have launched a petition calling on Google and Meta to stop classifying CBD companies under the same marketing category as adult-use cannabis brands, reports BusinessCann

According to Cellular Goods, sales have been “significantly hampered” by strict marketing rules on search engines and social platforms such as Facebook and Instagram—which is why the company is now partnering with more traditional media outlets owned by Condé Nast.

Some investors have asked why the digital marketing barriers to CBD brands weren’t known by the company’s marketing team previously. 

“I can only speak about me personally, my background is classic [fast-moving consumer goods] and I had no idea coming into this role in December that cannabinoids, which are legal ingredients, were going to have such a hurdle with these two media providers,” she said. “I think it’s a known industry thing, I don’t know if this is such a well known fact, to be honest.  Keep in mind that this company only went public in February 2021, so it’s still very new.”

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