While marijuana has been legal in California for almost two years, black market place weed is nevertheless a booming organization in the state.
Illegal sellers outnumber legal and regulated companies practically three-to-1, according to a startling evaluation of California cannabis sellers released this month. Some critics blame the internet site Weedmaps for letting thousands of rogue shops promote.
But cannabis regulators are cracking down. This week, they place publications, such as Weedmaps, that promote unlicensed marijuana companies on notice that carrying out so is against state law.
“Failure to comply with the specifications for marketing could lead to important monetary penalties,” the Bureau of Cannabis Handle stated in an e-mail to the sector Tuesday.
The sellers evaluation, which was completed by an association of legal marijuana companies in the state, punctuates a difficult year in an sector that launched with good guarantee in 2018 but quickly faced heavy challenges such as, a lockout of legit sellers in most of the state’s cities, enforcement challenges and higher retail taxes.
Critics say these hurdles have only emboldened an expanding black market place.
The United Cannabis Organization Association, a statewide group of legal marijuana companies, discovered that about two,835 illicit sellers, such as storefronts and delivery solutions, are operating statewide. [Read more NBC News]