Connect with us

Business

We’ll Get to It When We Get to It Says Biden Administration about Marijuana Legalization Review

Published

on

DEA Chief throws Biden Adminstration under the bus as she has recieved no guidance on early promises of reviews

According to the DEA’s administrator, the agency has not received a clear timeline from the Biden administration regarding the study of marijuana’s federal status, as suggested during a congressional hearing. In response, Tennessee Democrat U.S. Rep. Steve Cohen stated his intention to speed the process.

Last autumn, President Joe Biden initiated an “administrative review” to reevaluate marijuana’s classification under the Controlled Substances Act. As part of this process, public health agencies such as the U.S. Food and Drug Administration (FDA) and the Department of Health and Human Services are currently studying published scientific data, including information from state regulators’ medical marijuana programs.

The health agencies will then provide a recommendation to the DEA after considering the scientific evidence. Health Secretary Xavier Becerra stated in June that the aim is to complete this process by the end of the year.

However, during the recent congressional hearing, DEA Administrator Anne Milgram was less definitive about the timeline, stating that she had yet to receive a specific timeframe for the consideration and rescheduling recommendation.

President Biden has expressed his support for federal medical cannabis legalisation and marijuana decriminalisation. Rescheduling marijuana, currently categorised as a Schedule 1 controlled substance, would significantly benefit the marijuana industry, as it would remove tax restrictions under Section 280E of the federal tax code.

Congressional Pressure Mounts for Swift Action

DEA Administrator Anne Milgram’s disclosure that the Biden administration has not provided a specific timeline for rescheduling marijuana has sparked growing congressional pressure for a swift resolution. Leading the charge is Tennessee Democrat U.S. Rep. Steve Cohen, who expressed concerns over the lack of clarity and called on the DEA and relevant agencies to expedite the process. The potential benefits rescheduling drives Rep. Cohen’s urgency could bring to the cannabis industry and the public.

The current Schedule 1 classification presents challenges for legitimate cannabis businesses operating within state laws, including restricted access to banking services and burdensome tax restrictions under Section 280E. By advocating for a quicker resolution, Rep. Cohen aims to unlock the industry’s potential, stimulate economic growth, and improve patient access to medical cannabis. However, opponents of marijuana reform still raise concerns about potential abuse, increased access by minors, and long-term health effects, underscoring the need for a balanced approach in the ongoing deliberations.

Rep. Cohen’s demand for a specific and accelerated timeline underscores a rising belief that it is time for the federal government to take decisive action on marijuana rescheduling, even as the marijuana industry, patients, and advocates wait for additional details. Although it’s unclear whether the Biden administration will respond with a more specific strategy, the situation will be widely studied in the coming months. A crucial part of the ongoing discussion will be striking the correct balance between the benefits of rescheduling for the economy and society and public health considerations.

The Impact of Marijuana Rescheduling on the Industry

Marijuana’s potential rescheduling from Schedule 1 to a lower classification carries significant implications for the cannabis industry. A key advantage would be removing tax restrictions under Section 280E of the federal tax code. Currently, legal cannabis businesses face high tax rates due to their inability to deduct ordinary expenses, hindering their growth and financial viability. Rescheduling could alleviate this burden, enabling companies to reinvest in research, development, and expansion, stimulating economic growth within the industry.

Additionally, rescheduling could pave the way for increased research and development in the medical cannabis sector. As a Schedule 1 substance, marijuana’s classification restricts scientific research on its medical benefits. A shift in classification would facilitate more extensive studies, allowing scientists to explore its therapeutic potential further. This could lead to the development of new and more effective medical treatments, benefiting patients and potentially contributing to advancements in public health.

Beyond economic and scientific impacts, marijuana rescheduling may transform public perception. The Schedule 1 label has long been associated with criminality, perpetuating the stigma around cannabis. By rescheduling, the federal government could help dispel negative stereotypes, promoting a more positive image of the cannabis industry as a legitimate sector. As the stigma subsides, it may engender increased public support for cannabis reform efforts at the state and federal levels.

However, successful rescheduling necessitates a well-crafted regulatory framework. The transition to a new classification would require careful consideration of quality control, safety standards, and equitable access. Striking the right balance between regulation and free market principles will be pivotal in ensuring the industry’s responsible growth and safeguarding public interests.

The Biden Administration’s Stance on Cannabis Policy

President Biden’s stance on cannabis policy has transformed over time. During his tenure as Vice President, he adopted a cautious approach, opposing federal legalisation and supporting strict enforcement of drug laws. His stance has changed, though, becoming more progressive, particularly regarding the decriminalisation of marijuana and the use of medical cannabis. Biden advocated for cannabis policy changes throughout his 2020 presidential campaign, including federal decriminalisation, expunging prior convictions, and allowing states to enact their marijuana laws free from federal meddling. He also underlined the significance of giving cannabis research top priority to better grasp its possible advantages and disadvantages.

The “administrative review” launched last year to reevaluate marijuana’s classification under the Controlled Substances Act was considered a positive step forward. It demonstrated the administration’s willingness to reconsider the long-standing federal stance on marijuana and explore its potential medical applications. However, the lack of a specific timeline for completing the review has left stakeholders in the cannabis industry and advocacy groups eagerly awaiting more definitive action from the Biden administration. The delay has sparked calls for greater transparency and urgency in addressing this critical issue.

Proponents of rescheduling marijuana highlight the potential benefits of such a move. The cannabis sector might gain from fewer tax limitations and easier access to financial services by eliminating the plant from its present Schedule 1 status. Additionally, rescheduling would create new opportunities for cannabis research, enabling researchers to explore the drug’s therapeutic potential fully. This might result in the creation of cutting-edge cannabis-based therapies and pharmaceuticals that could help people with various illnesses. Rearranging the data could also help with social justice issues, as marijuana-related arrests and convictions have disproportionately harmed persons of colour. Federal limitations could be loosened, which could help lessen the prosecution of cannabis-related offences that are not violent.

Bottom Line

Growing pressure from Congress and advocates for a speedy settlement has been sparked by the Biden administration’s failure to provide an explicit schedule for marijuana’s reclassification. Although there are clear advantages to rescheduling for the cannabis sector and general health, abuse and public safety remain worries. Finding the correct balance between economic growth, social justice, and public health considerations will be crucial in determining the future of marijuana legalisation and regulation in the United States as the government considers its approach to cannabis policy.

Source: https://cannabis.net/blog/news/well-get-to-it-when-we-get-to-it-says-biden-administration-about-marijuana-legalization-review

Business

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

Published

on

By

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.

Continue Reading

AI & Technology

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

Published

on

By

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.

Continue Reading

Aviation

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

Published

on

By

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.

Continue Reading

Trending

Copyright © 2022 420 Reports Marijuana News & Information Website | Reefer News | Cannabis News