Eight Sweet Leaf stores in Colorado have had their licenses suspended and 12 people have been arrested as part of a yearlong investigation by local law enforcement – not federal – into illegal cannabis sales, according to a Cannabist report.
All 10 Sweet Leaf shops in Denver and one in Aurora were closed on Thursday; however, the shop in Portland, Oregon remained open, according to the report.
According to a press release from the Denver Department of Public Safety, “the alleged criminal actions are related to the allowable [one-ounce] amounts established by Amendment 64.”
Sweet Leaf representatives told the Cannabist that they were “cooperating with the authorities to resolve this issue and hope to have all of their stores back in operation as soon as possible.”
“It is unclear at this point exactly what actions, if any, Sweet Leaf took to cause the city to issue this order.” – Sweet Leaf, in an email to the Cannabist
According to the suspension order, regulators can suspend a license “when the director has reasonable grounds to believe that a licensee has engaged in deliberate and willful violation of any applicable law or regulation.”
A hearing is expected within 30 days.
Get daily cannabis business news updates. Subscribe