House Approves Amendment to Help Marijuana Businesses

[caption id="attachment_7881" align="alignright" width="183"] Representative Denny Heck (D-WA)[/caption]

The House of Representatives approved an amendment Wednesday that will facilitate marijuana businesses in working with banking institutions, International Business Times reports. The Heck Amendment, named after its sponsor Rep. Denny Heck (D-WA), was approved by a vote of 231-192. The amendment effectively blocks the SEC and Treasury Department from penalizing banks who lend money to legitimate marijuana businesses in areas where they can legally do business. The Heck Amendment was supported by both parties and represents growing bipartisan support of marijuana businesses, especially after the recent vote by Congress to defund the DEA’s ability to interfere with medical marijuana patients and businesses that are in compliance with state law. If the Heck Amendment is implemented, it will be a major victory in the effort to allow legitimate businesses to control the marijuana market.

In the past, many financial institutions have shied away from assisting marijuana businesses for fear that the federal government will go after them for it, forcing most to operate on a cash-only system. Because of this, they are required to transport thousands of dollars physically, making them targets for robberies and other crimes. Wednesday’s vote is the first step towards allowing legitimate marijuana businesses to utilize alternative forms of payment, such as credit cards and bank accounts, like all other businesses.