Attorney General James, Governor Hochul, Office of Cannabis Management Shut Down Unlicensed Cannabis Store in Brooklyn

 

Big Chief Smoke Shop in Bay Ridge Sold Unregulated Cannabis Products and Ignored Repeated Orders to Stop Operating without a License

AG James, Governor Hochul, OCM Have Shut Down Nine Unlicensed Cannabis Stores

New York Attorney General Letitia James, Governor Kathy Hochul, and the Office of Cannabis Management (OCM) today shut down a cannabis store in Bay Ridge, Brooklyn, Big Chief Smoke Shop, for operating without a license. Big Chief sold cannabis for months without a license and ignored repeated orders by OCM and other law enforcement authorities to stop operating. Investigators from OCM and the New York State Department of Taxation and Finance (DTF) inspected the store on two occasions and confiscated more than 600 pounds of cannabis and cannabis products that were not tested by OCM. In addition to shutting down the store, Attorney General James and OCM are seeking penalties from the store owner and the owner of the building where the store is located for allowing an unlawful business to operate on the property. The store’s owner could be fined millions of dollars in penalties as a result of this action. This is the ninth unlicensed cannabis store shut down by Attorney General James and OCM.  

“Unlicensed cannabis stores selling unregulated products pose a health risk to New Yorkers and hurt the businesses that are following the rules,” said Attorney General James. “New Yorkers who buy and use cannabis shouldn’t have to worry about the quality and safety of the products they are purchasing, which is why all shops must be licensed and regulated. Cannabis businesses, just like any other industry in New York, must follow rules and regulations to safely operate and pay their fair share of taxes. Public health and safety are a top priority, and Governor Hochul and I will continue to go after those who try to harm our communities.”

“We have no tolerance for illicit retailers who break the law and undermine our nation-leading adult-use cannabis industry,” said Governor Hochul. “This site egregiously violated New York's cannabis laws and I'm proud to be working with the Attorney General to shut this down. With Brooklyn's first legal cannabis retailers opening this month and illegal shops continuing to close, we are turning the corner toward building a stronger, safer cannabis industry.”

“Enforcement teams from OCM and DTF have worked diligently to shut down illicit cannabis businesses in every corner of the state,” said Chris Alexander, Executive Director, New York State’s Office of Cannabis Management. “They have now conducted hundreds of regulatory inspections resulting in the seizure of significant quantities of illicit cannabis. Thanks to action taken by the Governor, the Attorney General and the Legislature, we are able to pursue permanent closures for New York’s most egregious illicit operators. We have a lot of work to do but we will continue to protect what we are building and to ensure that revenue intended to rebuild communities isn’t lining the pockets of these operators who are selling untested and unsafe products that threaten the public health of New York’s cannabis consumers.”

New York’s Cannabis Law requires any person who cultivates, processes, or sells any cannabis product to be registered and licensed by the New York State Cannabis Control Board (Cannabis Board). Cannabis products sold by unlicensed businesses are not OCM-tested, can be unsafe, are not taxed, and may not be in child-resistant packaging. The law authorizes OAG, upon request by OCM, to bring a proceeding against any person who violates the Cannabis Law.

Big Chief Smoke Shop has been selling cannabis without a license since at least November 2022. In August 2023, OCM and DTF investigators inspected the store and found that the store was selling cannabis flower, concentrates, vapes, edibles, and pre-rolls without having a license to sell cannabis issued by OCM. The investigators confiscated approximately 161 pounds of cannabis flower, 137 pounds of cannabis-infused product, 108 pounds of concentrated cannabis, and 60 pounds of cannabis pre-rolls. The OCM issued a Notice of Violation and Order to Cease Unlicensed Activity to the store’s owner for operating without a license and posted the Notice of Violation and Order to Cease Unlicensed Activity along with warning notices informing the public of the dangers of illicit cannabis on the front windows of the store. In a follow-up inspection in October, OCM investigators observed that the documents OCM posted on the front windows of the store were covered over and that the store was still actively selling cannabis. At the October inspection, investigators seized more than 200 pounds of illicit cannabis and issued another Notice of Violation and Order to Cease Unlicensed Activity.

Local community leaders have vocally opposed Big Chief Smoke Shop and the local community board passed a unanimous resolution to shut down unlicensed stores in their neighborhood.

The petition filed by Attorney General James seeks to immediately shut down Big Chief Smoke Shop and stop the owner from distributing, delivering, dispensing, and selling cannabis products in New York. In addition, the petition seeks to require the store owner to pay penalties for violating New York’s Cannabis Law. The Cannabis Law imposes a penalty of up to $10,000 for each day in which an individual sells cannabis without a license, and a penalty of up to $20,000 for each day an individual continues to sell cannabis after receiving an order to cease operating from OCM.

In addition, the petition seeks civil penalties from the building owner where Big Chief Smoke Shop is located for permitting an unlawful business to operate within their property. The building owner was previously notified that an unlawful business operated within their property, and yet Big Chief Smoke Shop has continued to remain open for more than a year. Under the Cannabis Law, building owners can be fined a penalty of $10,000 per day for allowing the unlicensed sale of cannabis at their property.

Last month, Attorney General James, OCM, and DTF shut down an unlicensed cannabis store in Ontario County. In July, Attorney General James and OCM took action to shut down eight unlicensed cannabis dispensaries in Cayuga, Oswego, and Wayne counties that were also illegally selling cannabis to underage customers.

Statement from Comptroller Brad Lander on Education Dept Readjusting Funding for Students in Shelter Mid-Year

Comptroller Lander released the following statement following the Department of Education’s (DOE) update to the mid-year adjustment to the students in temporary housing (STH) Fair Student Funding (FSF) weight:

“I am pleased to learn that Chancellor Banks has agreed to fully fund schools that welcomed new students from families seeking asylum by extending the enrollment cutoff date for students in temporary housing to October 31—as my office requested in our letter on November 17. This move is crucial for schools serving students experiencing homelessness, including migrant students who face the challenges of learning a new language, adjusting to a new culture, and finding a permanent home.

“A little more than a year ago, our office was the first to sound the alarm on the lack of additional funding from this administration for schools serving newly arrived students from families seeking asylum. Since then, more than 23,000 additional students have arrived in our city and enrolled in NYC Public Schools, contributing to the first increase in school enrollment in eight years.

“Besides the additional nearly $10 million DOE is allocating to schools via the new mid-year adjustment, DOE opened the appeals process to schools throughout the year, which will provide ongoing support to schools helping newly arrived students thrive academically and socially.

“These positive developments will reduce resource disparities—the very ones the new funding weight for Students in Temporary Housing, as part of the Fair Student Funding Formula was designed to address—and foster an inclusive environment for all students, regardless of their background. This additional funding will also demonstrate New York’s commitment to providing a supportive, enriching education that empowers every student, including those who have recently arrived in our city seeking a better future.

“Now, we have to make sure that these kids are not displaced from their schools by the 60-day shelter limits that City Hall plans to impose on their families. Even if the City promises that kids can take buses back to their original schools from new shelter placements, year after year of evidence shows that won’t happen. Families in shelter with kids in public schools nearby must be allowed to remain in those shelters.” 

NYGOP Chair Ed Cox - Hochul’s Reparations Bill Divisive, Unproductive

NYGOP Chair Ed Cox released the following statement in response to reports that Kathy Hochul will sign a bill establishing a commission to study reparations:

“Governor Hochul's decision to endorse this divisive and unproductive reparations study is misguided. Instead of focusing on the issues that truly matter to New Yorkers, like our ongoing immigration crisis, crime, and the exodus of residents from our state, she's chosen to reopen old wounds and stoke racial tensions for political gain.

 

“This commission is a taxpayer-funded exercise in futility that will only generate more division and resentment. It's a slap in the face to all New Yorkers, regardless of their race, who are demanding solutions to real problems, not imagined ones.

 

“Governor Hochul and Albany Democrats have demonstrated yet again that they are more interested in playing identity politics than addressing the real challenges facing our state.”

Governor Hochul Continues New York’s Leadership on Racial Equity, Signs Legislation Establishing Commission to Study Reparations and Racial Justice

S.1163-A/A.7691 Establishes the New York State Community Commission on Reparations Remedies and Acknowledges the Fundamental Injustice and Inhumanity of Slavery

Commission to Examine the Institution of Slavery, Subsequent Racial and Economic Discrimination Against People of African Descent, and the Impact on Living People of African Descent

Governor Kathy Hochul today signed legislation to continue New York’s leadership on racial equity by creating a new commission to study reparations and racial justice. This commission acknowledges the horrific injustice of slavery and will be tasked with examining the legacy of slavery, subsequent discrimination against people of African descent, and the impact these forces continue to have in the present day.

“Today, we are continuing our efforts to right the wrongs of the past by acknowledging the painful legacy of slavery in New York,” Governor Hochul said. “We have a moral obligation to reckon with all parts of our shared history as New Yorkers, and this commission marks a critical step forward in these efforts.”

Legislation S.1163-A/A.7691 acknowledges the significant role the institution of slavery played in the establishment and history of New York. The legislation establishes the community commission on reparations remedies, which will be composed of nine members who are especially qualified to serve by virtue of their expertise, education, training, or lived experience in the fields of African or American studies, the criminal legal system, human rights, civil rights, reparations organizations, and other relevant fields.

Prior to the American Revolution, there were more enslaved Africans in New York City than in any other city except Charleston, South Carolina, and the population of enslaved Africans accounted for 20 percent of New York’s population, while 40 percent of colonial New York household owned enslaved Africans. This was an integral part of the development of the State of New York, and the consequences of the institution of slavery – and subsequently, discrimination and systemic racism borne of that institution – can still be observed today.

REGISTRATION OPEN: 2024 TD FIVE BORO BIKE TOUR

 

Bike New York announces registration has opened for the 46th TD Five Boro Bike Tour which will be on May 5, 2024. 

Bike New York announced today that general registration for the 2024 TD Five Boro Bike Tour – the world’s largest charitable bike ride – is opening Wednesday, January 3 at 12:00 PM. 

 

Since 1977, the TD Five Boro Bike Tour has brought together cyclists from all walks of life and skill levels for an opportunity to experience New York completely free of cars annually. This year, Bike New York is offering an Early Bird pricing of $134 plus processing fees between January 3rd and ending at 11:59PM on January 13. Riders will receive the standard pricing of $139 when they register after January 14. The registration fee is a tax-deductible charitable donation to Bike New York which helps fund free bike education, advocacy, and community outreach programming.

 

“For the 46th year in a row, the TD Five Boro Bike Tour will provide cyclists from around the world the opportunity to ride through New York City’s five boroughs completely car free,” said Ken Podziba, CEO and President of Bike New York. “This tour is especially important to us at Bike New York because each year it helps provide the funding and visibility we need to bring the joy of biking to New Yorkers.” 

 

The TD Five Boro Bike Tour is the primary fundraising event for Bike New York, a 501(c)(3) nonprofit committed to empowering New Yorkers to transform their lives and their communities through cycling. Proceeds from the event directly help to fund free public bike education and access programs for more than 30,000 adults and kids throughout the five boroughs, Bike New York co-produces this iconic New York tradition with the New York City Department of Transportation. 

 

For more information and to register for the 2023 TD Five Boro Bike Tour, visit www.bike.nyc/tour.

 

CONSUMER ALERT: NYS DEPARTMENT OF STATE’S DIVISION OF CONSUMER PROTECTION REMINDS NEW YORKERS HOW TO AVOID LOSING MONEY WITH GIFT CARDS AND GIFT CERTIFICATES THIS HOLIDAY SEASON

 

Gift Cards and Gift Certificates Cannot Expire Within Nine Years, Will Not Decline in Value Because of Fees, and May Be Redeemed for Cash if The Remaining Value is Less Than $5 

Secretary Rodriguez: “The Division of Consumer Protection is reminding consumers that the gift cards they purchase or receive this holiday season will be valid for nine years from its purchase date." 

Follow the New York Department of State on Facebook, Twitter and Instagram for “Tuesday’s Tips” – Practical Tips to Educate and Empower New York Consumers on a Variety of Topics 

For this week’s “Tuesday’s Tips”, the New York State Department of State’s Division of Consumer Protection (DCP) reminds New Yorkers of their consumer rights and scam prevention tips related to gift cards and gift certificates, so they avoid losing money this holiday season.

"New Yorkers should not have to worry about whether that gift card in their wallet is still usable," said NYS Secretary of State Robert J. Rodriguez. "The Division of Consumer Protection is reminding consumers that the gift cards they purchase for or receive from loved ones this holiday season won’t decline in value and will be theirs to spend for nine years from the purchase date."

Know Your Rights Related to Gift Cards and Gift Certificates

Gift cards and gift certificates are a convenient present for the holidays, so it’s important to remind New Yorkers that under New York State law, gift cards or gift certificates purchased on or after December 10, 2022, remain valid for nine years from the date of purchase. And when the remaining value of the gift card or gift certificate is less than five dollars, the recipient can opt to receive cash for the balance. Additionally, the law explicitly prohibits any “activation fees, retroactive fees, redemption fees, service fees, dormancy fees, latency fees, administrative fees, handling fees, access fees, periodic fees, renewal fees, re-loading fees, or any other fee of any kind.” There is one exemption to the law, which is that an issuer of a gift card or gift certificate that may be used at multiple merchants may charge a one-time fee for activation costs, which may not exceed $9.

In New Yok State, a gift card or gift certificate’s purchase date determines what, if any, rights exist for consumers.  Based on the purchase date, consumers can expect the following legal protections:                        

Gift Cards & Gift Certificates Purchased:	Minimum Expiration Date Imposed by Law:	Inactivity Fee Terms:
Between September 21, 2004, and August 21, 2010	No Law Requiring a Minimum Expiration Term.	A monthly inactivity service fee may be assessed monthly after the 12th month of inactivity.
Between August 22, 2010, and December 24, 2016	5-years from date of purchase before gift card can expire.	A one-time inactivity fee may be assessed after the 12th month of inactivity.
Between December 25, 2016, and December 9, 2022	5-years from date of purchase before the gift card can expire.	A monthly inactivity service fee may be assessed after the 24th month of inactivity. If the gift card is presented within 3 years of the purchase date, any activity fees assessed will be waived and the gift card will be replenished to its value prior to the fees.
On or after December 10, 2022	9-years from the date of purchase before the gift card can expire.	Inactivity fees are prohibited.

  

Stay Alert of Different Types of Scams Involving Gift Cards or Gift Certificates

Below are tips consumers should keep in mind when buying and using gift cards this holiday season:

• Research vendors before buying.Verify the legitimacy of the seller. Check reviews and articles.
• Beware of barcodes. The FBI released a warning related to fake barcodes on gift cards. Scammers place fake barcodes over the original barcodes to trick consumers. Consumers are left with an unactivated gift card, while scammers gain access to the funds. To prevent this scam:
  • Check packaging.When buying a gift card, consumers should make sure the packaging and security seals are intact.
  • Check the barcode. Confirm that the barcode is original to the packaging and doesn’t peel off.
  • Pay close attention to information displayed at checkout. Confirm that the information on the receipt and barcode matches the package.
• Use caution with third parties. Consumers should use caution when buying gift cards from third parties or online auctions, as it may be tough to confirm the dollar amount remaining.
• Review the terms and conditions.Before purchasing, consumers should always review the terms and conditions to understand what their recourse is if the gift card is lost or stolen.  Companies are required to post terms and conditions either on the card or in attached packaging.
• Beware of scammers. Scammers often seek payment in the form of gift cards, also known as prepaid cards. Government entities, utilities, and other reputable organizations will never call you demanding an overdue bill or debt be paid with a gift card. To learn more, please read our May 2023 alert on gift card scams.

Consumers having difficulty redeeming gift cards are encouraged to file a complaint with the New York State Division of Consumer Protection. The Division of Consumer Protection provides voluntary mediation, between the consumer and business, when the consumer has been unsuccessful at reaching a resolution on their own.

Follow the New York Department of State on Facebook, Twitter and Instagram and check in every Tuesday for more practical tips that educate and empower New York consumers on a variety of topics. Sign up to receive consumer alerts directly to your email or phone here.

The New York State Division of Consumer Protection provides resources and education materials to consumers on product safety, as well as voluntary mediation services between consumers and businesses. The Consumer Assistance Helpline 1-800-697-1220 is available Monday to Friday from 8:30am to 4:30pm, excluding State Holidays, and consumer complaints can be filed at any time at www.dos.ny.gov/consumer-protection.

For more consumer protection tips, follow the Division on social media at Twitter: @NYSConsumer and Facebook: www.facebook.com/nysconsumer.

District Court Enjoins New York and Delaware Companies from Manufacturing and Distributing Adulterated and Misbranded Dietary Supplements

A federal court on Dec. 13 enjoined two New York companies, a Delaware company and the companies’ owner from distributing and manufacturing adulterated and misbranded dietary supplements in violation of the Federal Food, Drug and Cosmetic Act (FDCA).

In a civil complaint filed on Dec. 11 in the U.S. District Court for the Eastern District of New York at the request of the U.S. Food and Drug Administration (FDA), the United States alleged that Total Body Nutrition LLC, TBN Labs LLC and Loud Muscle Science LLC (collectively TBN companies) and the companies’ owner, Mohammed Islam, violated the FDCA at the companies’ facility in Hauppauge, New York, and their previous facility in Edgewood, New York, by manufacturing and distributing adulterated and misbranded dietary supplements. The complaint alleged that Islam and the TBN companies violated the FDCA by manufacturing dietary supplements without establishing product specifications for the finished batches and without testing or examining the finished batches to verify that they met product specifications, and by using dietary ingredients in their dietary supplements without first testing or examining the ingredients to verify their identity. The complaint also alleged that the FDA inspected the TBN companies’ current and previous facilities four times, in 2017, 2018, 2021 and 2023, and found violations of the FDCA at each inspection. According to the complaint, FDA also issued Islam and the TBN companies warning letters in 2016, 2017 and 2019.

“Dietary supplement manufacturers and distributors have an important responsibility to ensure product quality and safety,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The Justice Department will continue to work closely with the FDA and take action against manufacturers and distributors who fail to abide by laws designed to protect public health.”

“Consumers trust that dietary supplements they purchase are unadulterated,” said U.S. Attorney Breon Peace for the Eastern District of New York. “My office is working diligently with our partners at the Justice Department’s Consumer Protection Branch and the FDA to ensure that these products are what they purport to be and safe. When they are not, we will take all appropriate action to protect consumers.”

“It is imperative that dietary supplement manufacturers comply with the FDA’s regulatory requirements to help ensure product safety and protect consumers,” said Acting Associate Commissioner Michael C. Rogers, MS, of FDA’s Office of Regulatory Affairs. “When evidence of non-compliance is identified, the agency holds dietary supplement manufacturers responsible. The FDA is dedicated to exercising its full authority under the law to take action against adulterated dietary supplements, as part of our ongoing commitment to protect the health of U.S. consumers.” 

Islam and the TBN companies agreed to settle the suit and be bound by a consent decree of permanent injunction. The negotiated consent decree entered by the court permanently enjoins Islam and the TBN companies from violating the FDCA, and requires, among other things, that Islam and the TBN companies comply with the dietary supplement current good manufacturing practice regulations and the dietary supplement labeling provisions of the FDCA and its implementing regulations. Further, Islam and the TBN companies must destroy all of their adulterated dietary supplements.

Trial Attorney Kimberly R. Stephens of the Civil Division’s Consumer Protection Branch is handling the case with the assistance of Assistant U.S. Attorney Michael Blume for the Eastern District of New York and Associate Chief Counsel Roselle Oberstein of the FDA’s Office of the Chief Counsel.

Additional information about the Consumer Protection Branch and its enforcement efforts can be found at www.justice.gov/civil/consumer-protection-branch.

The claims resolved by the consent decree announced today are allegations only, and there has been no determination of liability. 

Attorney General’s Office of Special Investigation Opens Investigation into Civilian Death in Manhattan

 

The New York Attorney General’s Office of Special Investigation (OSI) has opened an investigation into the death of Kent Edwards, who died on December 14, 2023 following an encounter with members of the New York City Police Department (NYPD) in Manhattan. 

On the afternoon of December 14, NYPD officers engaged in an active criminal investigation went to a residence on Manhattan’s Lower East Side. After officers entered the apartment, Mr. Edwards shot at them from inside the bathroom, striking an officer’s protective vest. Another officer opened fire in response, striking Mr. Edwards. Mr. Edwards was transported to a local hospital, where he was pronounced dead. The officer who was hit is expected to make a full recovery. Officers found a gun at the scene.

Pursuant to New York State Executive Law Section 70-b, OSI assesses every incident reported to it where a police officer or a peace officer, including a corrections officer, may have caused the death of a person by an act or omission. Under the law, the officer may be on-duty or off-duty, and the decedent may be armed or unarmed. Also, the decedent may or may not be in custody or incarcerated. If OSI’s assessment indicates an officer may have caused the death, OSI proceeds to conduct a full investigation of the incident. 

These are preliminary facts and subject to change.