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Submitted via IRC for TheMightyBuzzard
You may recall that in 2014 we wrote about a strange occurrence having to do with Chase Bank refusing to provide its banking services to Teagan Presley, a rather well known adult film actress. When it became clear that Presley wasn't the only performer to whom this was happening, it initially looked as though banks were engaging in a form of slut-shaming of adult film actors. It turned out, however, that it was the federal government doing the slut-shaming, with the emergence of the Department of Justice's Operation Choke Point. This DOJ policy that was developed to combat financial fraud somehow bled over the stencil lines and became a sort of banking morality police, encouraging banks to cut off services to industries like adult film, fireworks retail stores, and sellers engaged in what the DOJ deemed to be "racist materials." It's worth highlighting that all of these industries and actions, whether you like them or not, are legal, yet the DOJ was essentially attempting to extra-judiciously scuttle them through secretive federal policy. That should have terrified everyone, but didn't, and so the program went on.
Until recently. The justice department recently announced that Operation Choke Point will be ended.
The move hands a big victory to Republican lawmakers who charged that the initiative — dubbed "Operation Choke Point" — was hurting legitimate businesses. In a letter to House Judiciary Chairman Bob Goodlatte (R-Va.), Assistant Attorney General Stephen Boyd referred to the program as "a misguided initiative."
"We share your view that law abiding businesses should not be targeted simply for operating in an industry that a particular administration might disfavor," says the letter, obtained by progressive activist group Allied Progress and later provided to POLITICO by Goodlatte's office. "Enforcement decisions should always be made based on facts and the applicable law. We reiterate that the Department will not discourage the provision of financial services to lawful industries, including businesses engaged in short-term lending and firearms-related activities," it adds. A nearly identical letter was sent to Sens. Thom Tillis (R-N.C.) and Mike Crapo (R-Idaho).
I was more annoyed by their use of it against gun stores but good riddance regardless.
Previously:
Adult Film Stars' Bank Accounts Closed
(Score: 5, Interesting) by frojack on Saturday August 26 2017, @10:47PM (4 children)
Seems that this tactic is still employed against the pot industry in states that have legalized it.
Even when nothing crosses state lines (which theoretically should remove any legitimate federal interest.)
No, you are mistaken. I've always had this sig.
(Score: 5, Insightful) by edIII on Saturday August 26 2017, @11:58PM (3 children)
Which is hilarious because it's not like it stops them. Every dispensary I know of operates on CASH and has ATMs in the stores, that I bet are restocked almost daily with bills destined to be spent a few feet away. That's because the credit card processors won't have anything to do with them.
Banks are ostensibly useful to not have cash stolen from you, easier to pay people (first checks then cards), and easier for the government to track and suck up information. These days you can get these services in different ways, and laundering money is easier than ever. Since both are legal, a dispensary owner can also own a laundromat. Or an arcade. Or a strip joint. Even when they weren't legal, the people doing it still didn't have too many problems dealing with their money.
It's like they think Tony Montana was just going to go back to being a dishwasher because a banker said no to him.
Technically, lunchtime is at any moment. It's just a wave function.
(Score: 1) by Goghit on Sunday August 27 2017, @06:13PM
Cannabis is still illegal in Canada, but at my favourite pot shop I have my choice of paying by cash, Visa, MasterCard, or Debit. Still haven't got used to paying tax on my weed purchases then stepping outside the door and looking up the street at the court house parking lot full of RCMP cruisers.
Life is strange.
(Score: 0) by Anonymous Coward on Monday August 28 2017, @10:17AM (1 child)
Holy shit, why don't we just have the banks pay the dispensary directly then and people can just pick up whatever weed they want and leave?
(Score: 2) by edIII on Monday August 28 2017, @08:00PM
No such thing as direct, unless you're talking wire transfer. Indirectly that's called a check which dispensaries don't accept, and I doubt most customers would be willing to do anyways. The ACH processing on that is too slow anyways, and processing a check any faster or automatically tends to add some fees.
Then you also have debit cards which are arguably the bank paying directly, but again, this still requires a credit card merchant to be in the middle, so ultimately is indirectly as well. Unless you know of a bank that also operates it own merchant processing, and in that case, back to square one. They don't want to have anything to do with you, and they don't want to be servicing these businesses directly.
About the only hope you have a "bank" paying direct is cryptocurrency. I don't know any dispensaries that honor Bitcoin.
Technically, lunchtime is at any moment. It's just a wave function.