New York Officials Shut Down Unlicensed Cannabis Shops in Western Counties

NEW YORK– New York state authorities carried out a crackdown on what they deemed as seven unlicensed cannabis dispensaries in the western region on Monday. The establishments, known as the “I’m Stuck” shops, located in Cayuga, Oswego, and Wayne counties, were accused of operating without proper approval, selling cannabis products to minors, and organizing controversial Easter egg hunts redeemable for cannabis products.

The owner of the shops, David Tulley, has firmly denied the allegations of selling to underage customers. He stated that his stores primarily offered consulting and education about cannabis products for a fee and provided free samples, making state licenses unnecessary.

“We’re ready to go to war with New York state, and we get our day in court on Wednesday … so we’ll be happy to talk to them,” Tulley said in response to the shutdown.

On Wednesday, Tulley has been ordered to appear in court in Wayne County to address the state’s demands to close his shops, halt the dispensing of cannabis products, and pay fines.

This recent crackdown comes as a response to a surge in unauthorized pot shops that have emerged since New York legalized recreational cannabis use in 2021.

Under New York law, businesses found selling cannabis without a license may face a penalty of $10,000 per day, along with an additional $20,000 per day if they continue selling after receiving a cease-and-desist order from the state. As Tulley reportedly received such orders in February 2022, he could be potentially liable for millions of dollars in penalties.

Governor Kathy Hochul, Attorney General Letitia James, and the state Office of Cannabis Management jointly announced the closure of Tulley’s shops. They cited new authority granted by a law passed earlier this year, allowing the attorney general’s office to take legal action against cannabis law violators at the request of the Office of Cannabis Management. The state police assisted in closing the “I’m Stuck” stores, marking the first instances of shops being shut down under the new state law.

Governor Hochul emphasized the importance of cracking down on illegal operators to safeguard the success of legitimate entrepreneurs and consumers who abide by the rules.

Alongside the penalties faced by Tulley, state officials are also seeking penalties against the owners of the properties where the shops were located.

Authorities revealed that undercover investigators made purchases amounting to $1,000 worth of cannabis products from six “I’m Stuck” stores and found multiple instances of illegal sales to individuals under the age of 21.

Moreover, the Office of Cannabis Management disclosed that inspections of Tulley’s stores resulted in the seizure of over 47 pounds of cannabis flower, 244 pounds of cannabis edibles, and 89 pounds of cannabis concentrate.

In response, Tulley asserted that his shops aimed to educate consumers about cannabis products to facilitate informed purchases at licensed dispensaries. He claimed that free samples, ranging from cannabis gummies to cannabis flower, were provided to customers as part of their educational efforts.