New York Office of Cannabis Management Cracks Down On Businesses ‘Gifting’ Cannabis

NEW YORK–The head of New York state’s Cannabis Control Board has declared that businesses that are giving away cannabis as a promotion with the purchase of an overpriced T-shirt, lighter or other item are breaking the law.

Tremaine Wright who chairs the regulatory body for New York’s Cannabis industry said at last year’s CWCBExpo that: “There is no gray market in New York state,” Wright said. “This conduct is not legal and must stop. Individuals who do not cease run the risk of severe financial penalties.”

Her remarks did not elaborate on what grounds “severe financial penalties” could be leveled, but added that anyone selling cannabis products in unlicensed dispensaries, pop-up shops, or markets is not licensed, “nor are they selling safe, tested products.”

Subsequent to her comments at CWCBExpo, the Office of Cannabis Management have taken the next step and earlier this week issued warnings to more than two dozen businesses who they accused of either illegally selling cannabis or exploiting a “gifting” provision of the state’s cannabis law.

New York are seeing moves like this as an effort to clean up the market before issuing cannabis licenses for New York. New York is expected to be as big, if not a bigger market than California in the years ahead.