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Bay Ridge Smoke Shop Owner Hit With $6M Cannabis Fine
BAY RIDGE, BROOKLYN – The owner of Big Chief Smoke Shop is paying a hefty price for flouting New York’s cannabis laws. Attorney General Letitia James secured a $6 million judgment against the operator of the unlicensed cannabis store, a brazen act of defiance that put New Yorkers at risk and undercut legitimate businesses.
Big Chief Smoke Shop, located in Bay Ridge, Brooklyn, peddled cannabis for over a year without obtaining the necessary license. Despite repeated warnings and orders to cease operations from the Office of Cannabis Management (OCM) and other law enforcement, the shop remained open, openly disregarding the law. The OAG and OCM successfully obtained a judicial closing order, finally shuttering Big Chief in December 2023, but the damage was done.
The $6 million judgment breaks down as follows: $5.9 million in penalties for selling cannabis without a license and continuing to do so after being ordered to stop, $121,000 in disgorgement of illegal profits, and $44,000 in costs and attorney’s fees. “Rules and regulations, especially over the cannabis industry, are designed to protect New York consumers and keep neighborhoods safe,” said Attorney General James. “Big Chief Smoke Shop ignored repeated warnings to stop operating without a license and instead they kept their doors open, putting New Yorkers at risk. My office secured a $6 million judgment against the owners of Big Chief Smoke Shop for brazenly violating the law and disrupting the local community. Hopefully this judgment will serve as a warning to anyone who thinks they can ignore our laws and endanger our communities.”
Local officials are breathing a sigh of relief. Senator Andrew Gounardes stated, “New Yorkers need and expect a safe, regulated cannabis market where business owners play by the rules. By repeatedly refusing to do the right thing, Big Chief did an immense disservice to our community in Bay Ridge and to all the licensed retailers operating in New York. I’m grateful to Attorney General James for holding Big Chief accountable. Let this be a message to all other retailers trying to skirt the law: New York will shut you down.”
Councilmember Justin Brannan minced no words, calling Big Chief “one of the worst bad actors” he’d seen. “Beyond endangering their customers and our community by selling untaxed, unregulated, and illegal products, they were bad neighbors who hosted illegal activity, frequently trashed the area outside their premises, and blatantly mocked and provoked residents, elected officials, and law enforcement in the press.” Brannan highlighted the volume of complaints received about Big Chief, noting it generated more issues than any other establishment in his district since 2018.
New York’s Cannabis Law mandates registration and licensing for anyone involved in cultivating, processing, or selling cannabis. Violators face penalties of up to $10,000 per day for unlicensed sales and up to $20,000 per day for continuing operations after receiving a cease-and-desist order from OCM. The judgment against Big Chief Smoke Shop reflects a combination of these penalties, disgorgement of profits, and associated legal costs. The investigation revealed Big Chief had been illegally selling cannabis since at least November 2022, with OCM and the New York State Department of Taxation and Finance launching an investigation in August 2023.
Key Facts
- State: New York
- Agency: NY AG
- Category: Drug Trafficking|Fraud & Financial Crimes
- Source: Official Source ↗
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