Hochul calls on Google and Meta to stop promoting illegal marijuana stores in New York

Metro

by carl campanile

Gov. Cathy Hochul listens to complaints from the licensed cannabis industry, saying social media companies and big tech companies like Google and Meta are hurting legal operators and supporting a massive black market. He said it’s time to stop promoting illegal marijuana retailers on the site that are stealing wealth from New York. of tax revenue.

“Currently, Google and others are intentionally allowing illegal stores to advertise unauthorized products on their platforms. I am calling on all illegal cannabis stores to stop advertising,” Hochul said. said in a statement to the Post.

Mr. Hochul is scheduled to deliver that message at a news conference scheduled for Wednesday at his Manhattan office, during which he will also highlight other proposals to crack down on illegal marijuana businesses.

The Sunday Post reports that a licensed cannabis retailer sent her a letter urging her to open an investigation and consider legal action against Google, Meta, and others for engaging in “false advertising” of unlicensed cannabis stores. It was reported that he encouraged it.

Hochul says a quick search for “cannabis dispensary” on Google or Google Maps reveals many unlicensed cannabis stores with reviews and products for sale, and that it’s important to distinguish between illegal stores and licensed businesses. points out that it is almost impossible to do so.

The Site contains specific addresses, telephone numbers, and some links to websites.

Yelp also features reviews of unlicensed stores, but sites like Meta’s Instagram allow illegal stores to advertise their products, licensed owners said.

Legal marijuana businesses want Hochul to criticize the role of tech companies and social media giants in supporting illegal marijuana stores, not only at their expense but also at the expense of state and local governments who lose tax revenue to the black market. I was excited about what I was trying to do and erase.

“This is great. Leadership starts at the top,” said Osbert Orduna, CEO of The Cannabis Place in Queens and president of the Cannabis Association’s Military and Disabled Veterans. .

“The Governor is showing real leadership here by confronting giant corporations that profit from the clicks of unlicensed cannabis dispensaries while misleading New York consumers.”

On Wednesday, Hochul will be joined by licensed cannabis operators and Manhattan business advocates to urge lawmakers to support a cannabis enforcement agenda as part of the 2024-25 state budget.

One proposal would give the New York City Police Department, the New York City Sheriff’s Department, and the state Office of Cannabis Control (OCM) the power to padlock smoke shops and other retail establishments that illegally sell marijuana. .

Another measure would impose even higher fines on illegal marijuana business owners who refuse to allow state regulators to inspect suspicious establishments.

Under Hochul’s proposed law, the fine for ridicule would increase fivefold, from $4,000 to $20,000 for a first refusal, and from $8,000 to $40,000 for subsequent refusals.

Since the recreational sale of marijuana was legalized in 2021, the budding licensed cannabis industry has been hobbled by slow and difficult developments.

There are currently 77 licensed marijuana dispensaries across New York state, but Mayor Eric Adams and Sheriff Anthony Miranda estimate there are as many as 2,000 smoke shops selling marijuana illegally in the Big Apple alone. There is.

Many illegal cannabis stores operate with virtual impunity.

Few stores are padlocked, and only $22,500 of the $25 million in fines imposed by state regulators on unlicensed stores has been collected amid bureaucratic inertia and a lengthy appeals process. is.

Sources said Hochul also plans to discuss a streamlined process to increase cooperation among various state and local government agencies to share information to crack down on illegal pot dealers.

Alfredo Angueira, co-owner of Combado on the Lower East Side, praised Hochul for targeting “bad guys.”

He claimed there were 71 illegal smoking establishments within 1,200 feet of a licensed marijuana dispensary.

“The playing field is not level. Illegal traders are siphoning money out of state. They don’t pay taxes. They sell out-of-state products at very low prices. We’re paying wages. There’s no way for us to compete,” Angueira said.

He also said it was “absolutely surprising” that Google and other platforms would allow illegal cannabis stores to advertise on their sites.

The Post has reached out to Google for comment.

A spokesperson for Meta, the company behind Instagram and Facebook, told The Sunday Post: “Content that promotes the sale and purchase of drugs, including marijuana, is prohibited both in ads and organically on the page. We will delete it as soon as we find it.”