VIEWpoint Issue 1 | 2022
Brief Insights | Meeting Provider Relief Fund Reporting Requireme...
VIEWpoint Issue 2 | 2021
On Dec. 3, 2019, federal banking agencies and state bank regulators issued guidance on banks providing services to hemp-related businesses. The Board of Governors of the Federal Reserve System, Federal Deposit Insurance Corporation, Federal Crimes Enforcement Network (FinCEN), Office of the Comptroller of the Currency, and the Conference of State Bank Supervisors issued the guidance to provide clarity regarding the legal status of hemp and the applicable Bank Secrecy Act (BSA) requirements. Unlike marijuana, hemp is no longer a Schedule I controlled substance and the U.S. Department of Agriculture (USDA) regulates hemp production. Even though hemp is legal under federal law, state or tribal governments may prohibit the production of hemp. Due to the fact that hemp is legal under federal law, banks are not required to file a Suspicious Activity Report (SAR) on customers solely because the customer is engaged in hemp growth or cultivation, however they should be filed if the bank suspects suspicious activity. FinCEN will issue more guidance after reviewing and evaluating the USDA interim final rule establishing a domestic hemp production regulatory program.
This publication is distributed for informational purposes only, with the understanding that Doeren Mayhew is not rendering legal, accounting, or other professional opinions on specific facts for matters, and, accordingly, assumes no liability whatsoever in connection with its use. Should the reader have any questions regarding any of the news articles, it is recommended that a Doeren Mayhew representative be contacted.
A quick registration is required to view our resources.
You will only be asked to do this one time (unless you don't save your browser cookies).