Business
Critics question whether Biden-signed marijuana research law has ‘any value’
Starved for good news from Washington DC, the broad cannabis movement greeted President Joe Biden’s signing of the Medical Marijuana and Cannabidiol Research Expansion Act into law in December with enthusiasm and hope.
Surely, new research supporting the rescheduling of marijuana – and, with it, tax relief for the cannabis industry – as well as other federal reform would soon follow the first stand-alone bill related to MJ signed into law since Richard Nixon’s presidency.
At least, that’s what industry executives and investors hoped would happen after the bipartisan legislation became law Dec. 2.
But six months later, a growing chorus of critics note that the federal government has registered zero new cannabis research projects under the new law.
Nor have any new applications for producers of research-grade cannabis been approved under the new law, according to the Federal Register.
That’s where the U.S. attorney general must place a notice in order for research applications to be considered.
And that is something Attorney General Merrick Garland has yet to do.
‘We have not seen any benefits’
Yet, many of the same obstacles – including questions of funding as well as how to navigate an onerous federal review process – remain for any would-be researchers of marijuana.
The U.S. Drug Enforcement Administration, which funds and oversees national marijuana prohibition efforts, also supervises federally approved cultivation of cannabis used for research purposes.
Under the new law signed by Biden, the DEA, rather than health or science officials, remains in charge of allowing new research, according to Nora Volkow, the director of the National Institute on Drug Abuse (NIDA).
For decades, NIDA has supplied researchers with marijuana as well as funding.
In an emailed statement to MJBizDaily, Volkow noted it’s simply too soon to tell how the DEA will choose to wield that power.
“Studies on cannabis and other scheduled substances are critical,” she said, “and NIDA welcomes efforts to facilitate the process of obtaining a DEA registration to conduct research on these substances.
“As we do not yet know how the DEA will implement the new law, at this time, we cannot comment on the impact it will have on research.”
A DEA spokesperson told MJBizDaily the agency would have no comment.
But one DEA-licensed researcher says the new research bill hasn’t helped.
“In fact, we have not seen any benefits in velocity of marijuana research from this new law. And I question whether the law had any value,” Sue Sisley, an Arizona-based physician and principal investigator on a U.S. Food and Drug Administration-approved clinical trial involving cannabis, told MJBizDaily via email.
Sisley’s Scottsdale Research Institute is one of the eight entities with DEA permission to produce cannabis.
All eight applied well before the research bill took effect. The DEA has not approved any new producers since then.
“If you’re asking, ‘Has the bill greased the wheels for research?’ – I don’t think anybody can endorse that,” Sisley wrote.
Six months isn’t very long in science, but that lapse in terms of practical effect is giving some observers pause.
So is one of the organizations that claimed credit for the bill.
‘Drafted’ by marijuana’s sworn enemy
Smart Approaches to Marijuana (SAM) is one of the Washington lobbies that says it helped draft the bill and guide it through Congress.
That group is arguably the country’s most vocal and effective anti-legalization organization, though critics have accused SAM of cherry-picking data and misrepresentation.
SAM’s executive director, Kevin Sabet, appeared at a May Senate Banking Committee hearing to testify against cannabis banking reform.
In a Dec. 2 news release hailing Biden’s signing of the cannabis research legislation, SAM claimed to have “drafted” the bill.
Then, in a Dec. 6 release, U.S. Rep. Andy Hunter, a Maryland Republican and a bill co-sponsor, said SAM “helped” with the bill.
Sabet would not consent to an interview with MJBizDaily for this story.
However, a Sabet spokesperson emailed a statement that, while not addressing SAM’s role in drafting the bill, did dismiss any notions the legislation was ill-intended.
“Legalizers have long argued that marijuana is medicine and this bill advanced a solid, science-based research agenda – not hyperbole,” Sabet’s statement reads in part.
“It is no surprise that those who opposed the bill and those who stand to profit from full-scale commercialization continue to mischaracterize legitimate legislation that clearly expands research opportunities.”
A follow-up email also attributed to Sabet noted that “it often takes a long time for federal legislation to be fully enacted. It has only been six months. It isn’t serious to suggest that the bill hasn’t achieved its intent at this time.”
‘No one realizes how bad’ the research law is
Shane Pennington, a cannabis policy attorney, is among the research law’s staunchest critics.
“No one realizes how bad that research bill is,” he told MJBizDaily. “I didn’t realize it, until I went and looked at it again.”
In a Substack post last July, Pennington highlighted the new authorities granted to the DEA regarding cannabis research, arguing they are counterproductive.
Those include the ability to unilaterally determine whether an application to study the drug is incomplete and then, without consequence, to ignore the application.
More recently, Pennington pointed out how the research reform bill altered the Controlled Substances Act to create cannabis-specific research requirements, independent of the drug’s status under the act.
This means that, even if Congress or the Biden administration were to elect to reschedule marijuana, the same barriers to research could well remain.
All of this, coupled with the authority over research delegated to law enforcement rather than health or science officials, led Pennington to call the law a brilliant coup: Legislation to stymie cannabis research was passed off as a major breakthrough.
“Marijuana is on lockdown unless you can get the attorney general to say, ‘Well, how about some cannabis science?’” Pennington told MJBizDaily.
“You are giving authority over cannabis science to the biggest enemies of cannabis science who have ever existed on planet earth.”
Even more circumspect observers have noted the bill doesn’t help researchers wanting to study commercially sold marijuana, which tends to have higher THC levels than federally approved research cannabis.
University of California, San Diego, researcher Ziva Cooper argued in an interview with Psychiatric News that the new law mainly benefits researchers who already enjoy the logistical and administrative support of institutions with established cannabis programs.
In other words, pressing questions about marijuana and health could remain unanswered, such as how dispensary-grade cannabis or delta-8 THC might interact with a teen’s anxiety or ADHD drugs or even a senior’s diabetes or heart medication.
According to Sisley and Pennington, the much-vaunted research reform act won’t help fill in those blanks.
“This whole thing is a public health travesty,” Pennington said.
Source: https://mjbizdaily.com/critics-question-value-of-bidens-marijuana-research-law/
Business
EU Pressure Builds on Google as Regulators Face Calls for Massive Fine Over Search Practices
A growing coalition of European industry groups is intensifying pressure on regulators to take decisive action against Google over allegations of unfair search practices that could reshape competition rules across the region’s digital economy.
Investigation Under Digital Markets Act Gains Momentum
The case is being examined by the European Commission under the European Union’s landmark Digital Markets Act (DMA), introduced to curb the dominance of major technology platforms and ensure fair competition.
Launched in March 2024, the investigation focuses on whether Google has been prioritising its own services in search results, potentially disadvantaging rival businesses that rely on online visibility to reach customers.
Industry Groups Demand Swift Action
Several prominent European organizations have jointly urged regulators to conclude the probe without further delay. They argue that prolonged investigations allow alleged anti-competitive practices to continue, putting European companies—especially startups—at a disadvantage.
Signatories include the European Publishers Council, the European Magazine Media Association, the European Tech Alliance, and EU Travel Tech.
In a joint statement, these groups warned that delays in enforcement are affecting innovation, profitability, and growth prospects for regional businesses competing in digital markets.
Google Denies Allegations
Google has rejected claims of bias, stating that its search algorithms are designed to deliver the most relevant and useful results to users. The company has also proposed adjustments to address regulatory concerns.
However, critics argue that these changes are insufficient and fail to address the core issue of market dominance.
Potential Billion-Euro Penalties
If found in violation of the DMA, Google could face significant financial penalties. Under EU rules, fines can reach a substantial percentage of a company’s global turnover, potentially amounting to billions of euros.
Regulators may also impose corrective measures requiring changes to business practices, which could have long-term implications for how digital platforms operate in Europe.
Wider Implications for Big Tech
The case highlights ongoing tensions between European regulators and major U.S. technology firms. In recent years, the EU has taken a more aggressive stance in enforcing competition laws, aiming to create a level playing field for local businesses.
A final ruling against Google could set a major precedent, influencing future enforcement actions and shaping the regulatory landscape for global tech companies operating within Europe.
As scrutiny intensifies, the outcome of the investigation is expected to play a critical role in defining the future of digital competition across the European Union.
AI & Technology
Amazon Faces Potential Criminal Trial in Italy Over €1.2 Billion Tax Evasion Allegations
Milan: U.S. tech giant Amazon is facing the prospect of a major legal showdown in Italy, after prosecutors in Milan formally requested a court to move forward with criminal proceedings over alleged tax evasion totaling approximately ₹12,500 crore (€1.2 billion).
The case targets Amazon’s European division along with four senior executives, marking one of the most significant tax-related investigations involving a global e-commerce platform in Europe.
Trial Push Despite Multi-Million Euro Settlement
The move comes even after Amazon reached a financial settlement with Italian tax authorities in December, agreeing to pay around ₹5,500 crore (€527 million), including interest, to resolve part of the dispute.
Typically, such settlements lead to the closure of criminal investigations. However, Milan prosecutors have opted to proceed, signaling a tougher stance on alleged corporate tax violations.
A preliminary hearing is expected in the coming months, where a judge will decide whether to formally indict the company and its executives or dismiss the case.
Allegations of VAT Evasion Through Marketplace Sellers
At the center of the investigation are claims that Amazon’s platform enabled non-European Union sellers to avoid paying value-added tax (VAT) on goods sold to Italian consumers between 2019 and 2021.
Prosecutors allege that the company’s marketplace structure allowed thousands of foreign vendors—many reportedly based in China—to operate without fully disclosing their identities or tax obligations. This, authorities argue, led to substantial VAT losses for the Italian government.
Under Italian law, online platforms facilitating sales can be held partially liable if third-party sellers fail to comply with tax requirements, a key point in the prosecution’s case.
Italian Government Named as Affected Party
In their filing, prosecutors identified Italy’s Economy Ministry as the injured party, citing significant financial damage resulting from the alleged tax evasion.
Legal experts say the outcome of the case could have wide-ranging implications across the European Union, where VAT systems are harmonized and similar compliance rules apply to digital marketplaces.
Multiple Investigations Add to Pressure
The VAT probe is just one of several legal challenges facing Amazon in Italy. The European Public Prosecutor’s Office is reportedly examining additional tax-related issues covering more recent years.
Meanwhile, Milan authorities are pursuing separate investigations into alleged customs fraud linked to imports from China and whether Amazon maintained an undeclared “permanent establishment” in Italy—potentially exposing it to higher tax liabilities.
In a separate regulatory action, Italy’s data protection authority recently ordered an Amazon unit to stop using personal data from over 1,800 employees at a warehouse near Rome.
Amazon Denies Allegations
Amazon has consistently denied wrongdoing and indicated it will strongly contest the allegations in court if the case proceeds. The company has also warned that prolonged legal uncertainty could impact investor confidence and Italy’s appeal as a destination for international business.
Broader Impact on Europe’s Digital Economy
If the case moves to trial, it could become a landmark moment for the regulation of global e-commerce platforms in Europe. Governments across the region are increasingly scrutinizing how digital marketplaces handle tax compliance, especially in cross-border transactions.
With online retail continuing to expand, regulators are under mounting pressure to ensure that multinational platforms and third-party sellers adhere to the same tax rules as traditional businesses.
Aviation
IndiGo Crisis Exposes Risks of Monopoly: What If Telecom or E-commerce Collapses Next?
Airports across India witnessed scenes of distress and confusion as thousands of passengers were stranded due to IndiGo’s massive flight disruptions. Families with medical emergencies, funerals, and personal crises were left helpless as the airline cancelled hundreds of flights without adequate communication or support.
Passengers described desperate situations — a mother pleading for sanitary pads for her daughter, a woman unable to transport her husband’s coffin, and others stranded while trying to reach family funerals or hospitals. “It was like a lockdown at the airport,” one passenger said, describing the panic that unfolded as IndiGo’s mismanagement crippled operations nationwide.
Root Cause: IndiGo’s Market Monopoly
The turmoil, industry experts argue, stems from IndiGo’s monopolistic control over India’s domestic aviation market. The airline operates nearly 2,100 flights daily and holds around 60% market share — meaning every second plane flying within India belongs to IndiGo.
This dominance has given the company unparalleled influence. When IndiGo falters, the entire aviation system suffers. Passengers are left with few alternatives, as other airlines lack capacity to absorb stranded travellers. The result: skyrocketing ticket prices, chaos at terminals, and total dependence on a single private operator.
Aviation pioneer Captain G.R. Gopinath, founder of Air Deccan, criticised the government’s inaction, noting that on some routes, IndiGo’s economy fares surged to ₹1 lakh. He compared the situation to a hostage crisis, writing that the airline “held the system ransom” and forced regulators to defer new safety rules meant to protect pilots and passengers.
Government Intervention and Regulatory Weakness
The crisis erupted after IndiGo failed to comply with the Flight Duty Time Limitations (FDTL) — rules introduced by the DGCA in January 2024 requiring adequate rest for pilots. Despite having nearly two years to adapt, IndiGo blamed the rule for operational disruptions, citing a shortage of pilots.
Under mounting public pressure, the government stepped in, temporarily relaxing FDTL norms and capping airfare hikes. Officials claimed the move was to protect passengers, but analysts say it exposed the state’s vulnerability to corporate monopolies. “The government had no option but to yield,” said one aviation policy expert, pointing out that ignoring safety regulations for short-term relief could have long-term consequences.
The crisis also rekindled memories of the June 2025 Air India crash near London, which claimed over 240 lives. Experts warn that compromising pilot rest and safety standards to maintain flight schedules could risk another tragedy.
If Telecom Giants Fail: A National Paralysis
The article raises a troubling question — what if a similar crisis struck the telecom sector, where Jio and Airtel together control nearly 80% of subscribers and serve over 780 million users?
If both networks failed simultaneously, the repercussions would be catastrophic. Internet shutdowns would halt UPI transactions, online banking, OTP verifications, video calls, OTT streaming, and emergency communications. Critical services such as airports, hospitals, stock exchanges, and small businesses — many of which rely on WhatsApp and digital payments — would come to a standstill.
In essence, a telecom breakdown could paralyse India’s digital economy, exposing the nation’s dependence on a duopoly.
E-commerce Monopoly: Another Fragile Ecosystem
The same risk looms over the e-commerce sector, where Amazon and Flipkart dominate nearly 80% of the market. A disruption similar to IndiGo’s could cripple daily life — halting delivery of groceries, medicines, and essential goods, freezing refunds and customer support, and leaving small sellers without platforms to trade.
Local retailers, freed from competition, might exploit shortages by inflating prices. Such a scenario underscores the perils of market centralisation in sectors critical to everyday living.
A Wake-Up Call for Regulators
The IndiGo crisis, analysts say, is a warning shot for policymakers and regulators. A single company’s operational failure exposed systemic weaknesses in India’s infrastructure and consumer protection mechanisms.
As the aviation regulator DGCA investigates and IndiGo works to restore normalcy, the broader lesson remains clear: unchecked monopoly power in any essential service — whether air travel, telecom, or e-commerce — poses a direct threat to economic stability and citizen welfare.
Without stronger competition laws, redundancy frameworks, and regulatory oversight, India risks repeating this crisis across multiple sectors — each time with millions of citizens paying the price.
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