Judge Orders Removal Of 'Illicit Cannabis' Signs Plastered On NYC Hemp Shops By Gov's Weed Authorities

Zinger Key Points
  • NYC’s "Operation Padlock" faces legal challenges, with store owners arguing violations of due process.
  • Dozens of hemp store owners are fighting similar court battles, after their shops were raided and products seized.

The two hemp shops were given the green light from a state Supreme Court judge to remove the "Illicit Cannabis" signs placed on their store fronts by cannabis regulators following raids, reported Times Union.

The temporary restraining order signed by New York Judge Arthur F. Engoron suggests questions around the legality of the tactics used by state regulators and the NYC Sheriff's Office have been raised.

Dozens of hemp store owners are already fighting similar court battles, after their shops got raided, products seized and "Illicit Cannabis Seized" signs placed on their storefronts without any hearings. They argue that the signs label their businesses as criminal without due process while creating significant financial harm and a potential blot on their reputations.

The aggressive enforcement under NYC Mayor Eric Adams‘ “Operation Padlock to Protect,” also approved by Gov. Kathy Hochul, gave the green light to a task force comprised of the NYPD, Sheriff’s Office and the Department of Consumer and Worker Protection the power to padlock stores after just one inspection. In effect since April 2024, more than 1,200 illegal cannabis shops and and $82 million worth of illegal cannabis products have been seized, under the operation.

Read Also: Cannabis Licensing And Finding Dispensaries In New York Just Got Easier—Here’s How

  • Get Benzinga's exclusive analysis and the top news about the cannabis industry and markets daily in your inbox for free. Subscribe to our newsletter here. If you're serious about the business, you can't afford to miss out.

"The illegal shops … have become a magnet for crime, they have become a magnet for quality of life issues that we have faced in this city (…) Our message is clear: We want to close them down,” said Adams in a press conference featuring a live demonstration of a raid on a Lower Manhattan shop earlier this year, as reported by Benzinga's Rolando García. Prior to this, Adams stated his plan to shut all of the city's unlicensed cannabis outlets within 30 days, should the authority be granted.

There's More To It

However, in a separate legal saga, a Queens judge ruled in October that Adams' efforts were unconstitutional.

Judge Kevin J. Kerrigan ruled the mandate, which grants the City Sheriff’s Office authority to keep illicit cannabis sellers shuttered after they’ve been raided, is against the store owners’ rights to due process.

“Summarily shuttering a business for one year. Even though it was exonerated from allegations of illegal activity stands against the cornerstone of American democracy and procedural due process,” according to Kerrigan’s decision.

The Pot Calling The Kettle Black

In late September Adams was indicted on five federal public corruption charges, including bribery and wire fraud.

That was followed by the Department of Investigation opening a probe into New York City Sheriff Anthony Miranda over accusations that he and his officers made off with cash from illegal smoke shops they shut down across the city.

Read Next:

Market News and Data brought to you by Benzinga APIs
Comments
Loading...
Posted In: CannabisGovernmentNewsRegulationsPoliticsAnthony MirandaEric Adamshemp shopsKevin J. KerriganNYC CannabisOperation Padlock to Protect
Benzinga simplifies the market for smarter investing

Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.

Join Now: Free!