The results of the state’s initial enforcement actions against unlicensed cannabis businesses were released on Thursday. The efforts in these first two weeks have been led by New York State’s Office of Cannabis Management and Department of Taxation and Finance, which have been authorized under a new law signed by the Governor in May as part of the State’s Fiscal Year 2024 Budget.
Since June 7th, the New York State Office of Cannabis Management (OCM) and the New York State Department of Taxation and Finance (DTF) have jointly conducted inspections at 33 storefront businesses in New York City, Ithaca, and Binghamton not licensed to sell cannabis. The two agencies have issued Notices of Violation to 31 of these businesses, from which they have seized and cataloged a minimum of 1000 pounds of illicit cannabis with an estimated value of nearly $11 million, and with more still to be tabulated. Enforcement will be continuing weekly throughout the state, with OCM actively recruiting additional officers with the goal of ending the illicit sale of cannabis.
The new enforcement legislation adopted as part of the Budget has authorized OCM to assess civil penalties against unlicensed cannabis businesses, with fines starting at $10,000 per day, and rising up to $20,000 per day for the most egregious conduct. The new law has also authorized the agency to seek a State court order to ultimately padlock businesses found to be in repeated violation of the law, among other penalties. In addition, the law makes it a crime to sell cannabis and cannabis products without a license
In addition to the powers granted to OCM, the new enforcement law also empowers DTF to conduct regulatory inspections of businesses selling cannabis to determine if appropriate taxes have been paid and to levy civil penalties in cases where they have not. The legislation also establishes a new tax fraud crime for businesses that willfully fail to collect or remit required cannabis taxesor knowingly possess for sale any cannabis on which tax was required to be paid but was not.
By taking decisive action against unlicensed cannabis businesses, New York State is making a significant stride toward cracking down on unlawful cannabis operations that jeopardize public safety, consumer well-being, and the integrity of New York State’s legal cannabis market. To aid in these continuing actions, the FY 2024 Budget also provides $5M for an additional 37 OCM staff to carry out enforcement.
The following shops were inspected by OCM and DTF officers and have been issued notices of violation:
- Varieties on Broadway – 736 Broadway, New York, NY
- Roll 2 Nation – 738 Broadway, New York, NY
- Baby Jeeter – 793 Broadway, New York, NY
- Maze – 16 St. Marks Place, New York, NY
- LaGuardia Smoke – 510 LaGuardia Place, New York, NY
- Nomad – 59 West 30th Street, New York, NY
- Play Lane – 117B W 23rd Street, New York, NY
- Cannabis Culture – 403 8th Avenue, New York, NY
- Smoke Factory – 287 7th Avenue, New York, NY
- Go Green Dispensary – 603 6th Avenue, New York, NY
- Daydream – 1181 Broadway, New York, NY
- Giggles – 59 1st Avenue, New York, NY
- Empire Smoke Shop – 57 1st Avenue, New York, NY
- NYC Smokes – 104 MacDougal Street, New York, NY
- Caviar – 110 MacDougal Street, New York, NY
- Sweet and Sour – 73 2nd Avenue, New York, NY
- Smart Smokes – 143 1st Avenue, New York, NY
- Old G Convenience Corp – 18 West 14th Street, New York, NY
- Premier Top, Inc – 54 14th Street, New York, NY
- Black Leaf – 103 East State Street, Ithaca, NY
- Zaza Convenience – 101 East State Street, Ithaca, NY
- The Rezz – 312 Fourth Street, Ithaca, NY
- Puff N Pass Smoke Shop – 222 Elmira Road #10, Ithaca, NY
- Green Magic – 114 Henry Street, Binghamton, NY
- Take Off – 2-63 Chenango Street, Binghamton, NY
- BMillz 122 Washington Ave, Endicott NY
- Runtz 14 1st Ave, NY NY
- BMillz 1110 Conklin Rd, Conklin NY
- Royal Vapes, 113 Washington Ave, Endicott NY
- Sogie Mart 24 Ave A, NY NY
- Recreational Plus Dispensary 180 1st Ave, NY NY
