Business
More Than 400 Pounds of Weed Seized by Border Control (and Dog) in Cincinnati
On the outside, they looked like dehumidifiers. A look inside the appliances revealed more than a million bucks worth of contraband. That was the haul intercepted by U.S. Customs and Border Protection officers––and their trusty narcotics detector dog, Bruno––in Cincinnati over the weekend.
The dog apparently alerted the officers “to a shipment of dehumidifiers, with each one containing vacuum sealed bags containing marijuana” on Saturday, the agency said.
The shipments arrived in the port of Cincinnati “and while conducting canine operations, Bruno alerted to these dehumidifiers that were arriving from Ontario, Canada.”
“Officers inspected the first shipment and discovered vacuum sealed bags hidden inside the dehumidifier cases. Officers tested the substance which was positive for marijuana. Officers then inspected all 12 dehumidifiers and discovered that each one had concealed bags containing marijuana-413 pounds in total,” Customs and Border Protection said in a press release.
CBP said that the shipment was “heading to a company based in Great Britain and the illicit narcotics had an approximate street value of $1.10 million.”
LaFonda D. Sutton-Burke, the director of field operations in CBP’s Chicago Field Office, praised the work of Bruno.
“Our canine teams are an invaluable asset to the CBP enforcement strategy,” Sutton-Burke said in the press release. “These interdictions are a testament to the hard work, dedication and training these teams employ on a daily basis protecting America.”
The agency “emphasized that transnational criminals are desperate and will take any measures within their reach to get their illegal narcotics across our borders.”
“Our officers have been trained to identify and stop shipments that pose a threat to our nation and our international counterparts. We are committed to the CBP mission and continue to assist our law enforcement allies around the world,” Richard Gillespie, Cincinnati’s port director, said in the press release.
While recreational cannabis has been legal in a growing number of states––and Democrats in Washington continue to flirt with the idea of ending prohibition on the federal level––the U.S. Customs and Border Protection continues to intercept weed on the U.S. border and in the country’s ports.
In April, shortly after New Mexico became the latest state to legalize adult-use cannabis, the Customs and Border Protection issued a stern warning to anyone carrying weed in the state.
“Border Patrol agents have drug enforcement authority. Marijuana is still a prohibited drug under Schedule 1 of The United States Controlled Substances Act. Therefore, U.S. Border Patrol agents will continue to take appropriate enforcement action against those who are encountered in possession of marijuana anywhere in the United States,” the agency said at the time.
Earlier this month, Border Patrol agents in Texas “seized over 200 pounds of marijuana in two separate events within five hours,” the agency said.
CBP said that agents “assigned to Bike Patrol observed multiple subjects carrying bundles away from the Rio Grande in Escobares [Texas].”
“Additional agents responded and interdicted just as the smugglers attempted to load the narcotics into an awaiting Chevrolet Tahoe. The Tahoe departed the area as the smugglers abandoned the bundles and absconded back toward the river. Agents seized three bundles of marijuana weighing 115 pounds and valued at 92,000 USD,” CBP said in its press release.
Then, shortly after midnight the following day, “agents observed a group of ten subjects walking away from the Rio Grande south of Cuevitas,” ultimately discovering 90 pounds worth of cannabis.
“One of the Mexican nationals, along with the narcotics, was turned over to the Texas Department of Public Safety to face state charges,” the agency said in the press release.
New Mexico regulators fined a cannabis operator nearly $300,000 and revoked its license after the company allegedly created fake reports in the state’s traceability software.
The New Mexico Cannabis Control Division (CCD) accused marijuana manufacturer and retailer Golden Roots of 11 violations, according to Albuquerque Business First.
Golden Roots operates the The Cannabis Revolution Dispensary.
The majority of the violations are related to the Albuquerque company’s improper use of BioTrack, which has been New Mexico’s track-and-trace vendor since 2015.
The CCD alleges Golden Roots reported marijuana production only two months after it had received its vertically integrated license, according to Albuquerque Business First.
Because cannabis takes longer than two months to be cultivated, the CCD was suspicious of the report.
After inspecting the company’s premises, the CCD alleged Golden Roots reported cultivation, transportation and sales in BioTrack but wasn’t able to provide officers who inspected the site evidence that the operator was cultivating cannabis.
In April, the CCD revoked Golden Roots’ license and issued a $10,000 fine, according to the news outlet.
The company requested a hearing, which the regulator scheduled for Sept. 1.
At the hearing, the CCD testified that the company’s dried-cannabis weights in BioTrack were suspicious because they didn’t seem to accurately reflect how much weight marijuana loses as it dries.
Company employees also poorly accounted for why they were making adjustments in the system of up to 24 pounds of cannabis, making comments such as “bad” or “mistake” in the software, Albuquerque Business First reported.
Golden Roots was fined $298,972.05 – the amount regulators allege the company made selling products that weren’t properly accounted for in BioTrack.
The CCD has been cracking down on cannabis operators accused of selling products procured from out-of-state or not grown legally:
- Regulators alleged in August that Albuquerque dispensary Sawmill Sweet Leaf sold out-of-state products and didn’t have a license for extraction.
- Paradise Exotics Distro lost its license in July after regulators alleged the company sold products made in California.
Golden Roots was the first alleged rulebreaker in New Mexico to be asked to pay a large fine.
Source: https://mjbizdaily.com/new-mexico-cannabis-operator-fined-loses-license-for-alleged-biotrack-fraud/
Four marijuana companies, including a multistate operator, have filed a lawsuit against U.S. Attorney General Merrick Garland in which they allege the federal MJ prohibition under the Controlled Substances Act is no longer constitutional.
According to the complaint, filed Thursday in U.S. District Court in Massachusetts, retailer Canna Provisions, Treevit delivery service CEO Gyasi Sellers, cultivator Wiseacre Farm and MSO Verano Holdings Corp. are all harmed by “the federal government’s unconstitutional ban on cultivating, manufacturing, distributing, or possessing intrastate marijuana.”
Verano is headquartered in Chicago but has operations in Massachusetts; the other three operators are based in Massachusetts.
The lawsuit seeks a ruling that the “Controlled Substances Act is unconstitutional as applied to the intrastate cultivation, manufacture, possession, and distribution of marijuana pursuant to state law.”
The companies want the case to go before the U.S. Supreme Court.
They hired prominent law firm Boies Schiller Flexner to represent them.
The New York-based firm’s principal is David Boies, whose former clients include Microsoft, former presidential candidate Al Gore and Elizabeth Holmes’ disgraced startup Theranos.
Similar challenges to the federal Controlled Substances Act (CSA) have failed.
One such challenge led to a landmark Supreme Court decision in 2005.
In Gonzalez vs. Raich, the highest court in the United States ruled in a 6-3 decision that the commerce clause of the U.S. Constitution gave Congress the power to outlaw marijuana federally, even though state laws allow the cultivation and sale of cannabis.
In the 18 years since that ruling, 23 states and the District of Columbia have legalized adult-use marijuana and the federal government has allowed a multibillion-dollar cannabis industry to thrive.
Since both Congress and the U.S. Department of Justice, currently headed by Garland, have declined to intervene in state-licensed marijuana markets, the key facts that led to the Supreme Court’s 2005 ruling “no longer apply,” Boies said in a statement Thursday.
“The Supreme Court has since made clear that the federal government lacks the authority to regulate purely intrastate commerce,” Boies said.
“Moreover, the facts on which those precedents are based are no longer true.”
Verano President Darren Weiss said in a statement the company is “prepared to bring this case all the way to the Supreme Court in order to align federal law with how Congress has acted for years.”
While the Biden administration’s push to reschedule marijuana would help solve marijuana operators’ federal tax woes, neither rescheduling nor modest Congressional reforms such as the SAFER Banking Act “solve the fundamental issue,” Weiss added.
“The application of the CSA to lawful state-run cannabis business is an unconstitutional overreach on state sovereignty that has led to decades of harm, failed businesses, lost jobs, and unsafe working conditions.”
Alabama regulators are targeting Dec. 1 to award the first batch of medical cannabis business licenses after the agency’s first two attempts were scrapped because of scoring errors and litigation.
The first licenses will be awarded to individual cultivators, delivery providers, processors, dispensaries and state testing labs, according to the Alabama Medical Cannabis Commission (AMCC).
Then, on Dec. 12, the AMCC will award licenses for vertically integrated operations, a designation set primarily for multistate operators.
Licenses are expected to be handed out 28 days after they have been awarded, so MMJ production could begin in early January, according to the Alabama Daily News.
That means MMJ products could be available for patients around early March, an AMCC spokesperson told the media outlet.
Regulators initially awarded 21 business licenses in June, only to void them after applicants alleged inconsistencies with how the applications were scored.
Then, in August, the state awarded 24 different licenses – 19 went to June recipients – only to reverse themselves again and scratch those licenses after spurned applicants filed lawsuits.
A state judge dismissed a lawsuit filed by Chicago-based MSO Verano Holdings Corp., but another lawsuit is pending.
Source: https://mjbizdaily.com/alabama-plans-to-award-medical-cannabis-licenses-dec-1/
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