LOS ANGELES, CA --(Marketwired - September 25, 2013) - MediSwipe Inc. (www.MediSwipe.com) (MWIP), the leader in Compassionate Care Technology Solutions for the medicinal marijuana industry, today announced that the Company will seek to capitalize on Washington State's announcement to seek banking partners for the state's new marijuana initiatives.
With a recent editorial being published in the Seattle Times regarding the state of Washington's bid to find a financial institution to provide safe medical marijuana-based banking, the spotlight has been cast upon multinational banking and financial services corporation, Bank of America. However, while many assume that Bank of America would be the first of its kind to provide a form of delivery and financial operating processes to the medical marijuana industry, MediSwipe Inc., has long established itself as the first publicly traded Company to provide financial services, and merchant processing for canna-businesses.
The editorial that was published in the Seattle Times placed emphasis on Bank of America's seven-year contract in charge of the state of Washington's banking main account ending on June 30th. While the state recently outright legalized the recreational use of marijuana through the passing of Initiative 502, it has now been brought forth to the attention of legislators that it is an imperative necessity to have the deposits of marijuana revenue obtained and tracked. There have currently been requested bids as to see if whether or not a major multinational financial institution such as Bank of America will handle the state's "controversial" up-and-coming industry.
"There should be no debate in determining that MediSwipe has been on the ground floor of this industry and can provide bona fide banking solutions for medical marijuana and cannabis-related businesses. We have long been recognized as one of the most well-established and innovative forms of patient solutions for canna-businesses. Our initial business model as the first company in this space serving the industry was for electronically-processed transactions within the healthcare and medical marijuana industry. We presently provide terminal-based service packages including 'Seed to Sale,' cloud-based patient records storage and multiple financial payment options for clinics, hospitals, physicians and medical marijuana dispensaries. MediSwipe has been responsible for tracking and digitizing patient records, electronic patient referrals, credit and debit card merchant services and has even recently added an area pertaining to the sale and distribution of hemp-based nutritional product lines. We hope to be able to play any role and offer guidance to Washington State as our services are already proven in participating state programs including Colorado and Michigan," stated Michael Friedman, CEO of MediSwipe Inc.
The state expects to soon start depositing revenue from Initiative 502, which legalized the recreational use of marijuana. The Liquor Control Board will receive its first fees in November from applicants asking the board for licenses to grow and sell the drug, and the Department of Revenue starts collecting taxes as soon as March 2014. The uncertainty was reflected in last week's quarterly report from Washington revenue forecasters, who said they wouldn't count I-502 revenue in their projections until the Liquor Board finishes writing rules and "an agreement is reached with the federal government with respect to the legality of depositing cannabis-sourced tax receipts into state accounts." Presently, medical marijuana sellers are not regulated or licensed by the state and they operate in what some see as a legal gray area. But they are supposed to pay sales tax and business tax, which goes into the state's bank account.
The new I-502 businesses are different. They will be licensed by the state, so revenue collectors can't plead ignorance of the companies' business practices. Liquor Board Director Rick Garza said he asked other state officials if the licensing would affect the state's ability to deposit the revenue. Not necessarily, he was told. Washington is not the first state to license marijuana businesses, and the federal government has never cracked down on states' bank accounts, Garza said.
If tax rates don't change, I-502 might bring in between $1.4 billion and $3.2 billion over a decade, consultants told the Liquor Board.
About MediSwipe Inc.
MediSwipe Inc. (www.MediSwipe.com) provides innovative patient solutions and is the leader in Compassionate Care Technology for the medicinal marijuana industry. MediSwipe provides terminal-based service packages and integrated Web Portal add-ons for physicians, clinics, hospitals and medical dispensaries that include: digital patient records, Electronic Referrals, Credit/Debit Card merchant services, Check Guarantee and Accounts.
This press release may contain certain forward-looking statements and information, as defined within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, and is subject to the Safe Harbor created by those sections. This material contains statements about expected future events and/or financial results that are forward-looking in nature and subject to risks and uncertainties. Such forward-looking statements by definition involve risks, uncertainties and other factors, which may cause the actual results, performance or achievements of MediSwipe Inc. to be materially different from the statements made herein.