New York Task Force Shuts Down Over 100 Illegal Cannabis Dispensaries in Three Weeks

1.7 min readPublished On: June 20th, 2024By

LOS ANGELES- Since its inception three weeks ago, New York’s task force dedicated to shutting down illegal cannabis dispensaries has closed 114 storefronts. The enforcement actions, which have led to the seizure of more than $29 million worth of products, mark a significant step in the state’s efforts to regulate the cannabis market.

According to Governor Kathy Hochul’s office, licensed retailers in areas targeted by the enforcement reported a 27% increase in sales from the first week of May to the first week of June, a substantial rise compared to previous months.

Felicia A.B. Reid, acting executive director of the Office of Cannabis Management (OCM), emphasized the negative impact of unlicensed cannabis shops on the state’s efforts to establish a regulated and equitable market. “Unlicensed cannabis shops threaten to undo the incredible work New York has done to center equity, create jobs, and ensure the integrity of products as the cannabis market expands,” Reid stated.

New York City Mayor Eric Adams highlighted the city’s commitment to addressing illegal dispensaries, which he said contribute to a sense of lawlessness. “After working with Governor Hochul and our partners in Albany to give local municipalities the power we needed to weed out this illegal activity, we launched ‘Operation Padlock to Protect,’ which is already seeing stunning results. In a matter of weeks, we have shut down nearly 400 smoke shops, seized $13.3 million in illegal products, and imposed more than $30 million in fines and penalties. Our work will protect children, keep our streets safe, and contribute to the thriving legal market that New York deserves,” Adams said in a press release.

Governor Hochul launched the Cannabis Enforcement Task Force on May 21. This statewide law enforcement initiative coordinates efforts from several agencies, including the OCM and State Police, to combat the illicit cannabis market. The task force collaborates with landlords to evict illegal dispensaries and penalizes those who do not take action against tenants operating unlawfully.

The enforcement actions reflect New York’s dedication to establishing a legal and regulated cannabis market while protecting public safety and ensuring the integrity of cannabis products.

About the Author: HCN News Team

The News Team at Highly Capitalized are some of the most experienced writers in cannabis and psychedelics business & finance. We cover capital markets, finance, branding, marketing and everything important in between. Most of all, we follow the money.

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