Gaming industry seeks clarity on handling cannabis-derived money

Nevada marijuana business owners pay attention: The gaming industry has appealed to the U.S. Treasury Department for clarity on how casinos should deal with money connected to the cannabis sector.

The American Gaming Association sent a letter to federal regulators asking for guidance in a situation where cannabis is federally illegal but legal in certain states, the National Law Journal reported.

According to the letter, the discrepancy “continues to present complexities and challenges for many types of financial institutions, including casinos.”

Casino owners are seeking advice on how to handle high-rollers who are gambling with money they made in the cannabis industry, according to the National Law Report.

Specifically, the AGA wants to know “whether and how” gaming establishments should use the Department of the Treasury Financial Crimes Enforcement Network’s 2014 marijuana guidance for filing “suspicious activity reports” on patrons whose money is derived from marijuana-related businesses, wrote Geoff Freeman, president and CEO of the American Gaming Association.

Though recreational marijuana is legal in Nevada, consumption is strictly forbidden in casinos because they abide by federal law regarding cannabis.

5 comments on “Gaming industry seeks clarity on handling cannabis-derived money
  1. Dan on

    I am at a loss for words at the hypocrisy of this statement. Really?? Your industry was built and controlled by the mafia, your industry prays on the addiction of gambling and legal hookers… and your worried about someone that made their money thru hard work??

    Reply
    • Dale on

      Ignorant stoner prudes – hookers are not legal in Las Vegas/Clark County (though they should be because the legal brothels in the Nevada low population counties have no VD, provide tax income for the State, and provide a safe environment for the worlds oldest profession). The vast majority of Las Vegas visitors are here for fun not because of an addiction. The mafia is long gone and, depending on where you live, it is likely that your economy was originally based on some shady commerce (tobacco, slavery, etc.) – glass houses and stones.

      Reply
  2. Paula Givens on

    It is a perfectly logical question for a casino to ask as they are a ‘financial institution’ covered by the anti-money laundering provisons of the Bank Secrecy Act and Patriot Act. Complying with the FinCEN Guidance issues by the Department of Treasury is THE path to banking cannabis revenue.

    Treasury will respond that the casinos, like otther financial institutions, must issue appropriate SARA and engage in other due diligence to ensure the funds are derived from the lawful sale of cannabis within the state program.

    Reply

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