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Nevada marijuana companies cite big wins from legislative session

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Nevada cannabis operators and other stakeholders lobbied for structural changes to the state’s adult-use and medical marijuana programs, and the legislature answered by approving several industry-friendly bills during its most recent session.

The industry-backed changes signed into law last month by Gov. Joe Lombardo included eliminating and capping various fees, reassessing penalties for operating violations and creating a dual license for retailers serving both medical patients and recreational consumers.

The policy overhauls, which garnered bipartisan support in Nevada’s Democrat-controlled Legislature, will save some operators tens of thousands of dollars per year in business expenses while significantly expanding retail access, industry insiders told MJBizDaily.

“As the legal cannabis industry continues to evolve and look for ways to better serve consumers with safe and affordable products, we are grateful that our state legislators and Gov. Lombardo responded with a slate of supportive legislation,” said Scot Rutledge, a partner at Argentum Partners, a government affairs and marketing firm based in Reno.

The developments come as Nevada posts cannabis sales well below the peaks seen in 2021, and industry executives prepare for the highly anticipated rollout of consumption lounges, primarily in Las Vegas.

Fines and fees

Through Senate Bill 195, the Nevada legislature granted cannabis operators reprieve from excessive fees, penalties and other compliance costs.

Key provisions of the bill include:

  • Eliminating the regulatory practice of “stacking” charges or violations. Under the new law, operators will be cited for a single violation rather than multiple citations for the same offense.
  • Eliminating the regulatory practice of “time-and-effort” billing, in which licensees were charged high hourly rates by the state’s Cannabis Compliance Board (CCB) for routine audits, inspections and investigations.
  • Lowering the maximum penalty for any single business violation from $90,000 to $20,000.

Under the prior system, stacking violations could lead to outrageous fines, according to Layke Martin, executive director of the Nevada Cannabis Association.

In one example she cited, the state fined a dispensary $40,000 following a complaint about lack of paper towels in a bathroom.

“If you look at some of the complaints in Nevada, you will see that they were most often in the six figures,” she said.

“Many of the times, they were for administrative violations.”

Under SB195, the CCB is also prohibited from invoicing cannabis businesses and applicants for so-called “time-and-effort” charges for normal business interactions with regulators, including document reviews and compliance inquiries. In Nevada, that rate was set at $111 per hour.

Last year, Nevada cannabis operators paid $1.7 million in time-and-effort charges, Martin said.

The new law mandates that regulators only bill operators for costs and charges authorized by state statute.

Opponents criticized the prior policy for essentially double-charging marijuana businesses since the CCB’s annual budget of about $10 million is entirely funded through cannabis excise taxes.

“We saw a 500% increase in time-and-effort billing to the industry over the past few years,” Martin said.

“I have one licensee in our in our membership who was billed $47,000 over the course of the year.”

The goal of these changes is to alleviate some of the economic burden on operators and incentivize compliance and cooperation, according to Melissa Waite, a Las Vegas attorney with the law firm Dickinson Wright.

“Cannabis operators hope SB195, coupled with other changes during the session, will provide more certainty and fairness in the disciplinary process,” she said.

Omnibus bill ushers in wholesale changes

Senate Bill 277 not only provides new benefits for consumers, retailers and the state’s supply chain, it reduces maximum fees for nearly every marijuana license, as outlined in legislation sent to the governor for his signature.

Last-minute amendments to increase some of those maximums were met with fierce industry resistance, insiders told MJBizDaily.

“The result was that the fees for initial licensing and renewal of an adult-use cannabis license were reduced, except for the initial issuance of an adult-use retail license, which remains unchanged at $20,000,” Waite said.

“The bill includes many other changes that undoubtedly benefit the industry.”

Other stipulations of the omnibus bill include:

  • The creation of a dual license for medical and recreational retailers, allowing them to serve any type of customer.
  • Increasing the purchasing limits of flower from 1 ounce to 2.5 ounces.
  • Increasing the purchasing limits of cannabis concentrates from an eighth of an ounce to a quarter of an ounce.

About one-third of Nevada’s 100 cannabis retailers will benefit from the dual-license designation, allowing them to serve both adult-use and medical consumers.

The state had roughly 12,500 medical marijuana cardholders at the end of May, according to the latest figures from the state’s Department of Health and Human Services.

More than 100 cultivators, processors and distributors also will benefit from the expanded market, according to the CCB.

Unique factors led to big changes

The bundle of approved cannabis-related legislation also included:

  • Establishing a working group to study psychedelics.
  • Creating an employment path in the industry for former convicts.
  • Revising the excise tax on wholesale cannabis to 15% of the actual sales price, rather than 15% of the “fair market value” set by the Nevada Department of Taxation. Fair market value often inflated the actual cost of goods sold, industry representatives said.

CCB Executive Director Tyler Klimas credited lawmakers for taking an aggressive approach to mitigate some of the industry’s biggest pain points and acknowledging what many states have yet to do.

“This is a recognition that the cannabis industry is a significant player in the state’s economy,” he told MJBizDaily. “And we’re evolving appropriately.”

The proliferation of bills also is partly a consequence of state lawmakers convening every other year to pass legislation, as well as the industry coalescing to address specific challenges.

“I think everyone has expectations and is comfortable with the idea that every two years, we’re going to come back and tweak things as the industry evolves,” Martin said.

“And then, we come back and try to fix what we can in a four-month time period.”

Source: https://mjbizdaily.com/nevada-marijuana-companies-cite-big-wins-from-legislative-session/

Business

EU Pressure Builds on Google as Regulators Face Calls for Massive Fine Over Search Practices

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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.

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AI & Technology

Amazon Faces Potential Criminal Trial in Italy Over €1.2 Billion Tax Evasion Allegations

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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.

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Aviation

IndiGo Crisis Exposes Risks of Monopoly: What If Telecom or E-commerce Collapses Next?

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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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