Unlicensed New York Cannabis Retailer Ordered to Pay $9.5M

The owner of an unlicensed cannabis retailer in upstate New York is facing a $9.5 million judgment after investigators found the Rochester-based store had been selling unlicensed cannabis products since at least September 2022, the New York Law Journal reports.

Issued by New York State Supreme Court Justice Frederick Reed, the judgment against George West, who owns Jaydega 7.0 in Canandaigua, was issued after West allegedly ignored a June 2023 notice from the Office of Cannabis Management (OCM) to stop selling cannabis without a license.

As penalty, West is ordered to disgorge more than $1 million in profits from selling unlicensed cannabis products and pay $8.4 million for continuing to sell after being ordered to stop.

New York Attorney General Letitia James thanked OCM for collaborating with the investigation.

“The owner of Jaydega 7.0 refused to follow the law and ignored repeated warnings to stop selling cannabis without a license. Today, George West must pay $9.5 million for violating our laws and hurting local communities. Stores that sell cannabis must abide by rules and regulations just like any other business in New York.” — AG James, in a press release

Meanwhile, after two years of licensed adult-use sales, cannabis tax dollars are finally available to be reinvested into the state, and OCM recently announced it is accepting applications for $100,000 grants — funded by cannabis taxes, with $5 million available in total — for programs seeking to benefit the state’s youth.