The HIGHs of Banking Marijuana Related BusinessesWith Victor Cardona
- 1 Video
- 1 Text
- 2 PDFs
- 2.0 hrs
ICB Credit: 2.5 CRCM
HIGH Fees + HIGH Revenue = HIGH Risk.
With half of the states legalizing the use of marijuana to some degree, is it time for your institution to take advantage of the high fees that can be charged for banking Marijuana Related Businesses (MRBs) operating in or near your state? Largely because the federal prohibitions on the cultivation, distribution, sale and use of marijuana have not been relaxed, the potential high fees and revenue that can be gained from banking marijuana related businesses must be weighed against the high risk inherent in walking the fine line between state regulation and federal prohibition.
Cash-intensive Marijuana Related Businesses need banking relationships, but there are many factors to consider in deciding whether your institution will open its doors to this industry. As the marijuana landscape continues to GROW and gain much notoriety, half the states have accepted the use of marijuana to some extent. State requirements vary widely, but still contradict federal law, and federal banking regulators continue to raise the bar when it comes to banking all high risk clients, including MRBs. HIGH fees for banking MRBs lead to HIGH revenue; however, these high- risk accounts still may not be worth banking. Proper due diligence is essential when banking MRBs. The question is -- how much due diligence is enough to satisfy regulators and law enforcement?
Please join Victor as he discusses the HIGHS of banking MRBs, including the latest regulatory measures being undertaken to further foster banking marijuana related businesses, and some best practices.
This presentation will cover:
- Types of MRBs
- Differences among state marijuana licenses
- Requirements for banking MRBs
- Marijuana Businesses Access to Banking Act of 2015
- Banks specializing in MRBs
- Due diligence best-practices for banking MRBs
- Cost-benefit analysis for banking MRBs
- and much more
Victor is currently Vice President of the BSA Department at Opus Bank, a $7.5 billion bank headquartered in Irvine, Ca. Victor has been in banking since 2004, specializing in BSA/AML compliance since 2005. In 2015 and 2016, Victor served on the faculty of the BankersOnline BSA/AML Top Gun Conferences.
Victor is responsible for managing Opus Bank's enterprise wide BSA Risk Assessment program, Quality Control program, policies and procedures, and training. Prior to this, Victor was the BSA Officer for Plaza Bank, a $1.1 billion bank in Irvine, Ca. He was responsible for managing Plaza Bank's overall BSA/AML and OFAC compliance program. Before joining Plaza Bank, Victor was the Assistant Vice President, BSA Risk Officer for City National Bank, a $35 billion bank in downtown Los Angeles where he performed the testing of the bank's BSA/AML and OFAC risk assessment program. He was promoted to this position within City National from Senior Compliance Analyst where Victor investigated the bank's most complex and high-profile SAR investigations.
Victor started his banking career with Farmers & Merchants Bank of Long Beach as a teller before quickly moving into their BSA Department. While at Farmers & Merchants Bank, Victor also represented the bank as the Financial Institution Liaison with the Long Beach Elder Abuse Prevention Team.
Victor received his Bachelor's Degree from Cal State Dominguez Hills in Accounting and his MBA from Utica College in Economic Crime & Fraud Management. Victor also attended the police academy at the Golden West College Criminal Justice Training Center where he received a Certificate of Achievement in Criminal Justice. He has been a member of ACAMS since 2007 and received his certification as a Certified Anti-Money Laundering Specialist in 2008. Victor also sits on the Executive Board for the ACAMS Southern California Chapter.