Eric Holder's Hazy Vision on Pot

Twenty states plus the District of Columbia now allow the sale of medical marijuana, while Colorado and Washington have legalized the drug for recreational use. Yet federal law still prohibits the possession, use, and sale of marijuana for any reason. This dichotomy explains why some banks are reluctant to accept the big cash deposits that pot purveyors generate—even if the cash is legal under state law.

U.S. Attorney General Eric Holder has promised to issue guidelines to make it easier for marijuana sellers who are operating in accordance with their state laws to use the banking system. Large amounts of cash “just kind of lying around with no place for it to be appropriately deposited,” Holder mused, “is something that would worry me, from a law enforcement perspective.”