Tracy Gallegos, partner and team lead of the Duane Morris Cannabis Industry Group, is quoted in American Banker about CTrust’s recently launched Cannabis Trust Score and its impact on the industry. […]
“Until there’s a rescheduling, obtaining traditional banking loans is going to be a significant hardship for plant touching operators,” said Gallegos, referring to cannabis’ classification as a Schedule 1 controlled substance, which exposes banks to potential money laundering investigations, which prevents most banks from lending to cannabis businesses. […]
“Having a company like CTrust provide a credit score is an indicator of credit worthiness, but it won’t do anything to solve any of the issues that the banks are facing in terms of the banks being penalized for engaging in business with what the federal laws still consider an illegal activity.”