CPCA MMD and Associated Issues Presentation_011

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at three different locations. He was charged with conspiracy to distribute and possess more than 1,000 plants (10 year mandatory minimum). (Source http://www.canorml.org/news/fedMedical Marijuanacases.html) LAKE COUNTY TASK FORCE: (Bureau of Narcotic Enforcement) One recent case currently in federal litigation involves the seizure of 32,000 plants from one grow. The cultivator claims that he is a “provider” for Medical Marijuana patients and therefore exempt from prosecution for cultivation. The subject was arrested and released on bail pending trial on marijuana charges with possible sentence of 12 years to life. On Feb 16, 2005 this subject was re-arrested along with another subject after allegedly selling one pound of marijuana to DEA agents, who claim they did not mention medical purposes. (Source) Lake County Narcotic Enforcement Team One pound of high grade Marijuana sells for approximately $4,000.00 dollars in the Bay Area. In the Mendocino area that price drops to approximately $2,700 per pound based on availability. It is estimated that one plant can yield one to three pounds of Marijuana. Based on this information 32,000 plants times 1-3 pounds = 32,000 – 96,000 pounds at $2,700 per pound = $86,400,000 to $259,200,000. LAKE COUNTY IMPACTS Sheriff Rod Mitchell, advised the following: • Lake County has one marijuana dispensary in Upper Lake (Two as of this writing) • The biggest problem is the doctor, close by the dispensary who is known across the state for being liberal in his recommendations to use marijuana for a fee of $175 • Many “patients” come from hours away and even out of state, Oregon specifically, to get a marijuana recommendation from the doctor • Upper Lake has been impacted by the type of people coming for the marijuana doctor and dispensary. Citizens report to the Sheriff that the people coming to Upper Lake for marijuana look like drug users (“dopers”). • One quilt shop owner has told the sheriff that she does not feel safe anymore because of the type of people drawn to the marijuana doctor and the dispensary, which are located close together in the very small town. 12 • They also have a notorious marijuana grower who beat prosecution for cultivation by making a medical claim. Law enforcement has taken a hands off approach even though he is blatantly violating the law. • The Marijuana grower has recently claimed to be a church to avoid paying taxes. (Source Rocklin P.D. report) LAYTONVILLE Crane by QUINCY CROMER/The Daily Journal (Excerpts from the article) The owner of Mendo Spiritual Remedies in Laytonville and Hemp Plus Ministry in Ukiah --who says he provides Medical Marijuana to more than a thousand people in Mendocino County --will be in court next week to face charges for cultivation of marijuana. Les Crane, founder and self-proclaimed reverend of the two churches where Medical Marijuana is available locally, said some 5,000 cannabis plants and his life savings --about $6,000 converted into gold --were seized by the Mendocino County Sheriff's Office on May 16. "They came here because a guy was coming to rob my house. I called them to come and solve the problem and then they found out about the grow. We showed them all the documentation and they left and went and got a search warrant and came back and searched my church," Crane said. (Source) http://www.hightimes.com/ht/news/content.php?bid=1203&aid=10 Laytonville marijuana guru shot to death (Excerpts from the article) 2 others beaten in home; no suspects, but officials believe killing related to pot growing Saturday, November 19, 2005 By GLENDA ANDERSON THE PRESS DEMOCRAT A Laytonville pot guru who founded two Mendocino County medicinal cannabis dispensaries was shot to death during an apparent robbery in his home early Friday morning. Les Crane, who called his pot dispensaries churches and referred to himself as a reverend, said he was in the business to help ailing people, not to make money. He had said he had nearly 1,000 patients. He was killed at about 2:30 a.m. Friday in his home, which is about a mile from the center of Laytonville…. Two other people in Crane's home at the time of the shooting were beaten….Crane's death is believed to be related to his marijuana-growing and dispensing activities, Mendocino County authorities said. "I am totally surprised we haven't had more robberies and violent crimes associated with these things because of the amount of money involved and the value of the product," Sheriff Tony Craver said. His religious credentials were issued by the Universal Life Church, which supplies certificates through the mail and the Internet. Sheriff's Lt. D.J. Miller provided few details of the crime, pending further investigation, including how many times Crane was shot or if any money or items were taken. Mendocino County officials had doubts about Crane's purpose for growing pot, and in May he was arrested for marijuana cultivation and several thousand pot plants were confiscated from his home. The criminal case was pending when he was killed…. (Source)http://www1.pressdemocrat.com/apps/pbcs.dll/article?AI D=/20051119/NEWS/5 11190303 13 LOS ANGLES COUNTY January 2004, Approximately six to eight known Medical Marijuana Dispensaries operating in West Hollywood. Several of the Medical Marijuana Dispensaries have generated calls for service. January 10, 2004, An Assault with a Deadly Weapon and a Vandalism are reported at one of the Medical Marijuana Dispensaries as well as calls generated reporting obstruction of the street or sidewalk. February 19, 2005, A Medical Marijuana Dispensary “LA Patients and Caregivers” reported that two subjects armed with handguns robbed the dispensary. May 6, 2005, A search warrant was served at one of the dispensaries by L.A.P.D. (no further information provided) May 15, 2005, A Medical Marijuana Dispensary “Alternative Herbal Health Services” four to five subjects armed with handguns entered the business at 4:25 pm, one of the employees was “pistol whipped” as the suspects demanded access to the dispensary’s safe. (Source Declaration of Sgt. Robert McMahon Los Angles County Sheriff’s Department) LOS ANGELES ANGELES P.D. Medical Marijuana Overview The purpose of this fact sheet is to provide an overview of the issues concerning Medical Marijuana from its inception to the present and review the Los Angeles County Ordinance that permits Medical Marijuana providers (providers, collectives, cannabis clubs and clinics) in unincorporated areas of the county. Medical Marijuana providers have been popping up all over the City of Los Angeles at an alarming rate causing a myriad of enforcement dilemmas. Because the district attorney, city attorney and city council have no policy regarding Medical Marijuana, citizens and police are perplexed as what to do and who to turn to. Further exacerbating the problem, long lines of drug abusers, who are not sick, are purchasing marijuana at will. Based upon a number of findings, as described in this fact sheet, allowing Medical Marijuana providers in the City of Los Angeles is not in the best interests of the Department, the City, and especially, its citizens. Therefore, Medical Marijuana providers should be banned in the City. The Compassionate Care Act of 1996, known as Proposition 215, made the possession and cultivation of marijuana legal for “qualified patients” and “primary caregivers.” Qualified patients included those with serious illnesses that had a recommendation from a physician and primary caregivers were individuals designated by a patient who has consistently assumed responsibility for the housing, health and safety of the patient. Senate Bill 420, enacted in 2004, implemented Proposition 215 and provided guidelines that included, a volunteer identification card system issued by county health departments for patients; immunity from arrest for possession, transportation, delivery or cultivation 14 with specified amounts of marijuana; and, expanded the definition of primary caregiver to employees of health care facilities. It also provided for limited compensation – no profiteering – for the primary caregiver, for “out of pocket” expenses and services, but not product. A “dispensary” is not a primary caregiver. Senate Bill 420 did not legalize providers. It stated primary caregivers cannot cultivate or distribute Medical Marijuana for profit. Sales and possession for sale are illegal. Commercial enterprises selling marijuana to any qualified public purchaser is not a primary caregiver and are subject to arrest and prosecution. The Los Angeles County Ordinance does not specify who may dispense Medical Marijuana and what dosage is appropriate for a particular illness. One of the arguments for the legalization of Medical Marijuana is that marijuana relieves pain and suffering, aids digestion of food and nourishment and other benefits to persons suffering from cancer, anorexia, AIDS, chronic pain, spasticity, glaucoma, arthritis, migraine and other illnesses. A recent add in a magazine from Pacific Support Services, Inc., in advertising Medical Marijuana recommendations, usurped Proposition 215 by adding, “sports injuries, auto injuries, insomnia, chronic pain and nausea, and anxiety,” to the aforementioned serious illnesses. They also promised, “If you do not qualify for a recommendation your visit is free,” and provided a coupon for $150 evaluation. When it comes to dosage, there is no specified dosage for a particular illness. The dosage is left to the decision of someone that has smoked or eaten marijuana products to speculate as to a person’s needs. These persons and providers do not have pharmaceutical experience. In May 2005, officers from the LAPD served a search warrant upon a dispensary that was one of a chain of seven Medical Marijuana providers located throughout the state. The dispensary was targeted for blatant distribution and illegal sales of marijuana to adults and young people. Young people from all over southern California flocked to the business to buy marijuana and then returned to their respective communities to conduct street sales of the drug. No one on the premises had pharmaceutical training or licensing to distribute the drug. Furthermore, the business promoted the sale and cultivation of 60 strains of marijuana, of which, only six strains were for medical purposes. Evidence was also recovered at the scene that showed the dispensary was in business to make a profit and allegedly laundered their proceeds. Fourteen persons were arrested and nearly 800 pounds of marijuana and over $242,000 in cash was seized (the 14 arrested were never filed on by the district attorney). Evidence documented over $1.7 million in cash was received from an average of 300 patients per day, during the month of March 2005. An email from the chain’s headquarters boasted $2 million monthly and 800 patients daily. The executive director chastised the dispensary for not bringing in more patients, which was a clear violation of Senate Bill 420 wherein providers are supposed to be non-profit. It was estimated the corporation as a whole brought in over $200 million annually that was allegedly laundered through the purchase of real estate, exotic automobiles, expanding business operations and foreign investment. Patients reportedly paid as much as $6,400 for a pound of marijuana. 15 During the aforementioned investigation, it was learned patients spent $150-$250 to be examined by a doctor to receive a recommendation, then another $40-$50 to obtain a patient identification card. According to Senate Bill 420, identification cards are only to be issued only by State or County health departments and not private entities. The cards were produced fraudulently. Next, patients had to spend from as little as $30 to several thousand dollars for dried marijuana or marijuana products. Some questions arose, “How can someone on a fixed income or pension afford Medical Marijuana?” and “What dosage of marijuana is appropriate for an ailment.” The Los Angeles County Ordinance provides for the sales and consumption of edible marijuana. Edibles are food products, i.e. soda pop, peanut butter, candy, bakery items, jam and other liquids that contain various levels of Tetrahydrocannabinol (THC), the psychoactive agent of marijuana. There were no regulations in the Ordinance for the quality control, potency, dosage and legality of the products sold. There is no Food and Drug Administration (FDA) approval of the products. Furthermore, on April 20, 2006 the FDA rejected the use of marijuana for treating serious illnesses, stating they did not support the use of smoked marijuana for medical purposes. On March 23, 2006 in Oakland, “Beyond Bomb,” one of a handful of manufacturers and distributors of edible marijuana products, who distributed edibles to the Yellow House and Medical Marijuana providers in California and the U.S., was searched by the Drug Enforcement Administration. The owner was arrested for marijuana trafficking. The area of the company used for processing and packaging edibles was atrocious. No sanitary precautions were taken whatsoever and the area was absolutely filthy and vermin was present. In addition, the company sold edibles in packaging resembling copyrighted and trademarked food items. The company used the same logo, candy wrapper colors and derivatives of the names of legal products, i.e. “Buddafinga” had the similar color wrapper and logo as the NestleUSA candy bar “Butterfinger.” Over 20 different marijuana candy items were found that violated state and federal laws pertaining to the infringement of copyrights and trademarks. In addition, legitimate candy bars were opened and the contents was laced with THC and then repackaged in the new labeling. There was no explanation for “3X,” “6X,” or “10X” markings on the wrappers of edible products (according to operators of providers the markings indicate the potency of THC in the product). Lastly, there are no directions on the edible packages for the uses, dosage, warnings (allergy alerts, stomach bleeding and use with alcohol), drug facts, expiration date and other information, as required for over the counter drugs. On August 15, 2006, a newly established Medical Marijuana dispensary in Hollywood, in an effort to recruit patients, handed out free samples of bakery items laced with THC. Two persons, an UPS driver ate a cookie and a security guard ate a piece of chocolate cake, and then fell violently ill and was hospitalized. The LAPD is currently investigating the poisoning of the two victims. The Los Angeles County Ordinance also provided for the smoking of marijuana on site with a ventilation system but states nothing about the dangers associated with such use and secondhand smoke. 16 According to the scientific studies, there are more than 4,000 chemicals in cigarette smoke including 43 known cancer causing (carcinogenic) compounds and 400 other toxins. These effects damage the heart and lungs and make it harder for the body to fight infections. Breathing secondhand smoke has been found to be as dangerous as smoking. Marijuana smoke and cigarette smoke contain many of the same toxins, including one which has been identified as a key factor in the promotion of lung cancer. This toxin is found in the tar phase of both, and it should be noted that one joint has four times more tar than a cigarette, which means that the lungs are exposed four-fold to this toxin and others in the tar. Marijuana smoking for patients with already weakened immune systems means an increase in the possibility of dangerous pulmonary infections, including pneumonia, which often proves fatal in AIDS patients. None of these effects are stated in the ordinance. In addition, citizens and businesses adjacent to providers complain of marijuana smoke that permeates into their working spaces and public hallways causing them distress and caused their businesses to loose customers. It was learned during the West Hollywood investigation; physicians were allegedly handing out Medical Marijuana recommendations for profit without actually examining prospective patients. Proposition 215 and Senate Bill 420 provided doctors could not be prosecuted for issuing Medical Marijuana recommendations. Evidence was recovered wherein one doctor saw 49 persons in one day, netting $150 per patient. The same doctor allegedly saw 293 patients in one week earning over $43,000 without ever personally examining them. Medical doctors typically see an average of no more than 10 patients per day. It was learned the doctor allegedly examined patients from a closed circuit television while a clerk received the payment and handed out pre-signed recommendations. Projecting his earnings, he could receive over $2.1 million annually without practicing medicine or worrying about malpractice insurance. An investigation last month in San Diego County proved this to be true regarding a different well-known physician. An undercover officer and a television crew, in separate incidents, obtained recommendations from the same physician, claiming maladies without begin examined and they paid for pre-signed recommendations. To further show there are no controls of who can receive Medical Marijuana, both persons then went to Medical Marijuana providers and obtained marijuana for their pets. They actually put their pet’s names on the recommendations (one was a dog and the other was a bird). The providers commented that Medical Marijuana, in edible form, was good for them. Another problem associated with Medical Marijuana recommendations is that there is no penalty for providers that do not check identification against the name listed on the recommendation. Just last week, a high school coach in the San Fernando Valley allowed members of his team to use his recommendation so that they could purchase marijuana for recreational use. The dispensary made no effort to remove the recommendation from the 17-year-olds’ possession and did not prevent them from obtaining marijuana. 17 The Los Angeles County Ordinance called for a security system and guards for each dispensary. Medical Marijuana providers have had more extensive security systems than Sav-On, Ritz or Walgreen drug stores, and yet they still have been robbed and assaults have occurred because they keep exorbitant amounts of cash and marijuana on hand. In addition, the security systems and guards do nothing for the surrounding businesses or area. Many of the providers in LA County employ street gang members with extensive criminal histories as security guards. Despite the guards, the Department has seen a significant increase in Part I and Part II crime wherever providers have appeared. Surrounding merchants and residences have had to deal with intimidation, second-hand smoke, and vandalism to personal property and buildings, urinating and defecating in public, thefts from vehicles and businesses and the loss of business. On August 28, 2006 between midnight and 3 a.m., unknown suspects tunneled through an adjoining business (workout gym) into a Medical Marijuana dispensary and stole the marijuana inside. Lastly, several unincorporated areas within the County of Los Angeles border the City of Los Angeles and are causing problems for both cities. In San Francisco, a Medical Marijuana dispensary just lost its bid to open up a shop near Fisherman's Wharf. The City’s Planning Commission meeting was packed by citizens who opposed the cannabis dispensary complaining that customers did not purchase pot for health problems, but to resell it on the street, and that the outlets are a magnet for general drug use and increases in overall crime, traffic and noise. There were no provisions in the Los Angeles County Ordinance regarding advertising of Medical Marijuana providers. In August 2006, Medical Marijuana dispensary flyers were found on the Grant High School campus in Van Nuys, offering Medical Marijuana doctor evaluations and recommendations and free samples of marijuana. Medical Marijuana advertising has also been found on college campuses. On August 16, 2006 Time Warner Cable pulled the plug on three ads promoting Medical Marijuana that were scheduled to debut on four popular cable channels in the Coachella Valley. There were no provisions in the Los Angeles County Ordinance for background verification of the owner’s qualifications to run a Medical Marijuana dispensary. The owners of several Medical Marijuana providers have been found to be felons and in the case of one the largest Medical Marijuana corporations, the owner is a fugitive from another state for drug trafficking. On August 17, 2006 the owner of a major Medical Marijuana dispensary in North Hollywood, with over 1,000 patients, was interviewed. He was anxious to speak with police because a Jamaican drug trafficking organization was trying to takeover his business and was threatening physical violence to him and his family. A new tact has been taken by a Medical Marijuana dispensary in Hollywood in representing themselves as a religious organization citing a recent decision by the U.S. Supreme Court, allowing certain hallucinogenic controlled substances to be used in religious ceremonies. Temple 420, in their interpretation of the court decision handed down in February 2006; purports marijuana is the sacrament of their religious experience. They offer prospective members unlimited supplies of marijuana to be picked up in person or sent through the mail after paying a $100 membership fee. 18 They represent, “Membership cards will work like Medical Marijuana cards in California. If a member is ever pulled over with cannabis, anywhere in the nation, they can present their card and show the authorities that they are lawfully in possession of religious marijuana.” Though issuing prescribed medications, providers do not have to meet the same standards as pharmacies. As news agencies have pointed out, State regulations are stricter for California’s barbers than its Medical Marijuana providers. Lastly, Senate Bill 420 has a provision allowing cities and counties to decide whether or not to approve Medical Marijuana providers. On August 16, 2006 the city of Monterey Park joined several counties and cities around the state, including the cities of Roseville, Pasadena and Torrance, in banning Medical Marijuana providers. Just in the last few days, the city of Corona has begun examining whether or not to ban Medical Marijuana providers. These cities, along with 38 others throughout the state, have recognized the serious impact Medical Marijuana providers have had upon communities and do not want what is happening in the southern California to happen in their communities. According to representatives from these cities, the banning of Medical Marijuana providers has not adversely affected their constituents. Source Det. Dennis Packer Asset Forfeiture/Narcotics Vice Division L.A.P.D.) MENDOCINO COUNTY Marijuana: Marijuana Crop Worth $1.5 Billion in One California County Alone, Paper Estimates 12/2/05 (Excerpts from the Article) Northern California's Mendocino County has been known for marijuana growing for at least 30 years. Part of the state's legendary Emerald Triangle of high-grade pot production along with neighboring Humboldt and Trinity counties, Mendocino has long profited from the underground economy. Last week, a local newspaper, the Willits News, tried to gauge just how large the profits may be, and the result is startling. According to the News, the local marijuana industry will add $1.5 billion to the county's economy this year. With Mendocino's legal economy estimated at about $2.3 billion, that means the pot economy is almost two-thirds as large as all other legal economic activities combined. When combining the aboveground and underground economies, the marijuana industry is responsible for roughly 40% of all Mendocino County economic activity, a figure approaching the proportions of the Afghan opium economy. The County of Mendocino Marijuana Eradication Team (COMMET) seized 144,000 plants this year, and District Attorney told the paper COMMET normally seized between five and eight percent of the crop, a little less than the 10% rule of thumb for estimating all drug seizures. The paper more than compensated for the lowball seizure rate by also factoring in a 20% crop loss to spoilage. Following the formula, the News estimated 1.8 million plants were sown in the county this year, with 1.32 million surviving droughts, floods, bugs, mold, and cops. And while both the DEA and Mendocino County law enforcement like to say that one plant produces one pound, the newspaper consulted local grower "Dionysius Greenbud," who said the average yield is closer to a half pound --a very rough estimate, given a local crop that consists of both high-yielding outdoor plants and smaller, lower-yielding indoor plants. The paper's in-the-ballpark estimate for total pot production in the county is thus 19 some 662,000 pounds. The paper assumed a wholesale price of $2200 a pound, based on reports from local growers, and a simple multiplication yields a total of $1.5 billion. Is that figure out of line? It's hard to say. In last year's "Reefer Madness: Sex, Drugs, and Cheap Labor in the American Black Market," Eric Schlosser quoted former DEA officials as estimating the value of all marijuana grown nationwide at $25 billion. While it is difficult to believe that one California County accounts for nearly 5% of all pot grown in the US, who is to say different? (Source http://stopthedrugwar.org/chronicle/413/mendocino.shtml) March 16, 2006 Three suspects enter a Medical Marijuana Dispensary (Mendocino Remedies), pepper spray the employees and attempt to take property. A fight between the suspects and victims ensues and the suspects flee the scene. (Source http://www.co.mendocino.ca.us/sheriff/pressreleases.htm) MODESTO July 18th, 2005. DEA arrests three subjects on charges stemming from a raid by Stanislaus Co Co sheriffs, who reported discovering 49 plants and 235 pounds of marijuana there. The main subject of the investigation and his wife had been providing Medical Marijuana for patients at a San Francisco dispensary. (Source http://www.canorml.org/news/fedMedical Marijuanacases.html) Soap store a front for pot outfit, cops say Patrick Giblin Modesto Bee (Excerpts from the article) Modesto, CA June 17, 2006 --Drug agents looked past the soaps and lotions at The Healthy Choice on McHenry Avenue in Modesto and sniffed out a marijuana store in the back, law enforcement officials said Friday. "The second store was just like a legitimate store, with shelves, prices listed and receipts given to the customers," said Rea, an agent with the Stanislaus Drug Enforcement Agency. "I've never seen anything like it." There were prescription bottles filled with pre-weighed amounts of marijuana. There also were 50 to 100 pre-wrapped, marijuana-laced brownies and an equal number of marijuanalaced cookies. The store had a menu of prices and types of marijuana, with the different varieties neatly packed in Tupperware containers, Rea said. "They offered full customer service," Rea said. Local, state and federal drug agents raided the store about 9 a.m. Friday and stayed until about 1 p.m., seizing property and cataloging the inventory, sheriff's spokeswoman Gina Legurias said. They also seized about $20,000 in cash. Approximately 30 people came to the store looking to buy marijuana while officers were there, Rea said. About half of them had California Medical Marijuana cards, indicating they were suffering from cancer, glaucoma or other ailments. Marijuana is believed to help relieve the symptoms. However, the store isn't a licensed Medical Marijuana dispensary. The rest of the potential customers didn't have cards, Rea said. "They sold to anyone and everyone," he said. No customers were arrested. They were interviewed to give officers an idea of how much business the store did, Rea said 20 OAKLAND • Large criminal element drawn to the dispensary location • Marijuana dealers who have a doctor recommendation are purchasing from the dispensary and then conducting illegal street sales to those who do not have a recommendation. • Street criminals in search of the drugs are robbing medical use patients for their marijuana as they leave the dispensary. • Thefts and robberies around the location are occurring to support the illegal and legal (by State law) drug commerce. • Chief Word mentioned that a shoe repair business next door to a dispensary has been severely impacted because of the concentration of criminals associated with the dispensary. The shoe repair business owner is considering