A Michigan man was arrested for suspected drunk driving after being caught traveling at speeds exceeding 100 mph, with nearly four pounds of cannabis and thousands of dollars in cash discovered in his possession, according to police.
The incident occurred at 3:48 a.m. on August 30th, when officers stopped a 2023 Ford F-150 at the intersection of Rochester Road and E. Maple Road in Troy. The driver was pulled over for excessive speeding and running a traffic signal.
Officers identified the driver as a 34-year-old resident of Troy. Upon approaching the vehicle, they noted the man's bloodshot and watery eyes, along with a strong odor of alcohol coming from the vehicle. A subsequent check revealed that his driver's license was suspended.
The man was asked to perform field sobriety tests, which police say he failed. He then took a preliminary breath test, which registered a blood alcohol concentration of 0.15%, nearly twice the legal limit, leading to his arrest.
At the Troy Police Lock-Up Facility, a search of the man revealed over $6,400 in cash in his pockets. Further investigation of his vehicle uncovered two large duffle bags containing approximately 3.93 pounds of cannabis and an additional $12,000 in cash.
After being informed of his chemical test rights while in custody, the suspect refused to take another breath test. Officers obtained a warrant for a blood draw, which was completed, and the case has now been referred to the detective bureau for review and potential charges.
Two men have been convicted of multiple felonies related to a robbery at a cannabis dispensary in Warren that occurred last year. One of the convicted individuals was employed at the dispensary during the time of the crime.
Lavall Perkins, 64, from Detroit, and Michael Graham, 48, from Eastpointe, were both found guilty by a jury of assault with intent to murder, conspiracy to commit armed robbery, and armed robbery. The charges stem from an incident in June 2023, when the two stole a safe from the Bring Me A Bag dispensary.
The crime took place on June 9th, when Perkins, along with an unidentified accomplice, created a disturbance outside the dispensary. The unidentified accomplice fired shots through the glass door of the business, hitting a victim. After unlocking the door, the assailant fired again as the victim attempted to retreat. Following the attack, both the accomplice and Perkins entered the dispensary and stole a safe before fleeing the scene in a Chevrolet Tahoe.
Graham, who was behind the wheel of the getaway vehicle, was employed at the dispensary at the time of the robbery.
The convictions came after an eight-day trial, during which the jury weighed the evidence and testimonies presented.
"These convictions underscore our community's commitment to holding violent offenders accountable," said Macomb County Prosecutor Peter Lucido. "The jury's decision reflects the compelling evidence and the bravery of the victims who testified. We hope this verdict offers some closure to those impacted by this senseless act of violence."
A Michigan-based cannabis company, Cherry Industries LLC, has been granted the right to continue its defamation lawsuit against an intellectual property attorney and his wife, despite their residency in Montana. U.S. District Judge Judith E. Levy ruled that the company had sufficiently demonstrated that the federal court has jurisdiction over the couple.
The case centers on allegations that attorney Brian Pangrle and his wife, Silvia Marie Lazo, made defamatory statements about Cherry Industries on social media and to state cannabis regulators. The couple's remarks allegedly implied that Cherry Industries had connections to Lalit Kumar, also known as Lalit Verma, who is accused of being involved in fraudulent activities. The true identity of Kumar remains unclear.
Cherry Industries claims that the couple's statements are false and have damaged the company's reputation. According to the lawsuit, Pangrle and Lazo were themselves victims of Kumar's schemes, having lost money in an investment tied to Kumar. They initiated a class action lawsuit against Kumar in February 2021, but the case was paused when one of Kumar's businesses filed for bankruptcy later that year.
Despite Cherry Industries' assertion that it too was a victim of Kumar's fraudulent activities, the company alleges that the couple has conducted a "scorched earth campaign" against them for years, spreading misinformation that has harmed their business.
Judge Levy's ruling addressed an issue in Cherry Industries' original complaint, which failed to properly establish that the parties involved were citizens of different states—a requirement for federal jurisdiction. After the company submitted a clarification on this point, the court accepted the revised filing, allowing the lawsuit to move forward.
Note to our readers: While this incident is not directly related to cannabis, it tangentially connects to the broader cannabis industry due to the involvement of Delta-8 THC products. The explosion in Clinton Township involved a facility that distributed vape pens, many of which were intended for use with Delta-8 THC, highlighting the sometimes blurred lines within the regulatory landscape of cannabinoid products.
The U.S. Environmental Protection Agency (EPA) is set to begin removing hazardous materials next week from a former smoke and vape shop in metro Detroit that was the site of a deadly explosion earlier this year. The incident tragically claimed the life of a pedestrian.
The cleanup effort will focus on the former Goo Smoke Shop and Select Distributors warehouses located at 19100 15 Mile Road in Clinton Township, near Fraser. According to the EPA, the site contains uncovered cans of butane, compressed gas cylinders, vape pens, and lithium-ion batteries that must be safely removed.
This operation follows an initial cleanup conducted in May, during which three 55-gallon drums of lithium-ion batteries and 3,582 compressed gas cylinders were removed and recycled. The total cost of the cleanup is estimated at $2.7 million.
The cleanup is necessary due to a massive explosion that occurred on March 4th at the building. The explosion, which involved cans of butane, compressed nitrous oxide, vape pens, and batteries, sent debris flying over several miles. A piece of projectile debris struck and fatally injured Turner Lee Salter, a 19-year-old pedestrian who was walking half a mile away from the site. Salter later succumbed to blunt force trauma at the hospital. Additionally, a township firefighter was injured in the blast.
Noor Kestou, the 32-year-old owner of the shop and a resident of Oakland County, was charged in April with involuntary manslaughter, a felony that carries a potential 15-year prison sentence. The charges were filed in the 41B District Court in Mount Clemens.
The EPA revealed that the building housed a significant quantity of hazardous materials, including ultra-refined butane cans, compressed nitrous oxide gas cylinders, and lithium-ion battery vape pens, in addition to cannabis CBD products, hookahs, lighters, and other novelty items. Local officials and prosecutors have stated that these materials were improperly stored, though the exact cause of the explosion has yet to be officially determined.
The explosion is currently under investigation by the U.S. Bureau of Alcohol, Firearms, Tobacco, and Explosives (ATF). According to reports from the Macomb Daily, Kestou was apprehended in April at a New York airport while attempting to board a one-way flight to Hong Kong.
The Cannabis Regulatory Agency (CRA) has filed a series of formal complaints against HiCloud LLC, a licensed medical cannabis grower based in Hesperia, Michigan. The complaints, which could lead to significant penalties including fines, suspension, or even revocation of the company's license, arise from a series of alleged violations of the Michigan Medical Marihuana Facilities Licensing Act (MMFLA) and associated administrative rules.
HiCloud LLC, located at 7655 E. M-20, Hesperia, MI, holds a Class C medical grower license under the MMFLA. The company came under investigation by the CRA following a complaint from a concerned citizen in early November 2023. The complaint alleged that HiCloud was using an unapproved building at 4334 S. 184th Ave. in Hesperia for cannabis-related activities and was potentially diverting regulated cannabis products into the unregulated market.
The investigation revealed multiple issues, beginning with an incident on November 9th, 2023, when the owner of HiCloud, identified only as E.C., was stopped by the Michigan State Police (MSP) while driving a rental truck on Interstate 96 near Lansing. The vehicle was found to contain 43.5 pounds of suspected cannabis flower, along with three jars each of suspected cannabis wax oil and powder. E.C. was subsequently arrested and charged with a felony for possession with intent to deliver cannabis.
The CRA's formal complaint details a series of alleged violations based on both the initial citizen report and the findings of their own investigation:
Unauthorized Transfer of Cannabis: HiCloud is accused of violating Rule 420.108(6), which mandates that any transfer of cannabis by a grower must be conducted through a secure transporter. The suspicion that HiCloud was moving cannabis without proper authorization is central to this charge.
Failure to Accurately Enter Data into Metrc: The investigation uncovered that HiCloud was not properly documenting its cannabis inventory within Metrc, the state's mandatory seed-to-sale tracking system, as required by Rule 420.108(8). Harvest batches were reportedly labeled with handwritten tags instead of the required Metrc tags, raising concerns about the accuracy and legality of the company's operations.
Inadequate Video Surveillance: According to the CRA, HiCloud failed to meet the video surveillance requirements outlined in Rule 420.209(5) and Rule 420.209(12). The surveillance system at HiCloud's licensed facility failed to record footage on critical dates, including the day of E.C.'s arrest. Additionally, when CRA agents requested 30 days of surveillance footage, HiCloud did not comply in a timely manner, delivering the requested recordings nearly a month later.
Improper Storage of Cannabis: The CRA alleges that HiCloud violated Rule 420.212(1), which requires that all cannabis products be stored in a secure, limited-access or restricted-access area. The presence of cannabis in an unapproved pole barn, as reported by the citizen and supported by MSP findings, is a direct violation of this rule.
Failure to Report Felony Charges: Another significant violation involved HiCloud's failure to report the felony charge against E.C. within the required three-business-day period, as stipulated by Rule 420.602(2)(a). This delay was compounded by discrepancies in visitor logs, suggesting that the company may have attempted to obscure relevant information from regulators.
Unmonitored Visitor Access: Finally, the CRA's complaint notes that HiCloud did not adequately monitor or log visitors, as required by Rule 420.602(7). This lack of oversight raises further questions about the company's adherence to security protocols.
The CRA's formal complaints are currently allegations, and HiCloud LLC has the right to respond to these charges. The company may request a hearing within 21 days to contest the complaints or seek a compliance conference with the CRA to discuss the allegations and demonstrate adherence to the MMFLA and related rules.
Should HiCloud be found in violation, the penalties could include fines, restrictions on their license, or the complete suspension or revocation of their operating license. The CRA's actions underscore the importance of compliance with state regulations in Michigan's tightly regulated cannabis industry.
This case serves as a critical reminder for all cannabis licensees in Michigan of the serious consequences that can arise from lapses in regulatory compliance, particularly concerning inventory management, secure transportation, and proper surveillance protocols.
Two key figures in Michigan's largest public corruption scandal in three decades, involving the bribery of former Michigan House Speaker Rick Johnson, have been released from federal prison after serving less than half of their sentences. The controversy surrounding their early release has sparked debate over whether justice has truly been served, as Johnson himself may soon be released.
Vince Brown, a lobbyist for the cannabis industry, was released on August 6 from a low-security prison in Pennsylvania after serving less than nine months of his 20-month sentence for conspiring to bribe Johnson. Three weeks prior, Oakland County businessman John Dawood Dalaly was granted compassionate release from a minimum-security prison in West Virginia, also after serving less than nine months of his 28-month sentence for bribing Johnson.
The lenient sentences for these high-profile individuals, both of whom played significant roles in a scandal that rocked Michigan's capital, have raised concerns about the integrity of the justice system. "This does seem like it's not justice," commented Matthew Abel, a Detroit-based criminal defense attorney specializing in cannabis-related cases. Abel emphasized that the legacy of these actions continues to affect Michigan's cannabis industry.
The Federal Bureau of Prisons has not provided an explanation for Brown's release, which continues a pattern of early releases for Metro Detroit businessmen, labor leaders, and politicians convicted of public corruption. The trend highlights ongoing concerns about accountability in high-profile cases.
Rick Johnson, a 71-year-old former Republican lawmaker from LeRoy, has also petitioned for compassionate release, citing various health issues. Johnson was sentenced last year to 55 months in federal prison for accepting $110,200 in bribes while serving as chairman of the Michigan Medical Marijuana Licensing Board. His actions, described by U.S. District Judge Jane Beckering as an "unfettered abuse of power," included accepting bribes ranging from $1,000 to $20,000 and engaging in illicit activities.
Johnson is seeking early release from a minimum-security federal prison camp in Minnesota, where he has served less than nine months of his sentence. The judge had previously rejected his request, noting that Johnson had served only 4% of his sentence and that his medical condition was neither terminal nor severely debilitating.
Johnson's chances of early release appear slim, given that federal judges in Michigan's Western District, where his case was prosecuted, have only granted compassionate release to 3% of the 410 inmates who applied since the COVID-19 pandemic began. This rejection rate is one of the highest in the country, trailing only behind districts in Arkansas, Georgia, Oklahoma, and Texas.
Defense attorney Wade Fink acknowledged the importance of compassionate release as a safety valve for courts, allowing them to consider extraordinary and compelling circumstances. However, he cautioned against interpreting early releases as leniency, noting that underlying factors, such as terminal health conditions or family responsibilities, often play a role.
The bribery scandal resulted in the convictions of four individuals last year, including Brian Pierce, a 46-year-old lobbyist from Lansing who is serving a two-year sentence in a medium-security prison in Pennsylvania. Brown and Dalaly, despite their early release, are required to remain under court supervision for two years.
Brown attributed his early release to credits earned for good behavior under the First Step Act, a federal law that allows inmates to reduce their sentences based on various factors such as age, health, and lack of a prior criminal record. He emphasized that the bribery case represented a small part of his career, which he described as overshadowed by youthful mistakes and poor partnerships.
The scandal continues to reverberate in Michigan's cannabis industry, with some still questioning the extent of favoritism granted to certain businesses during the industry's formative years. As Abel pointed out, "Johnson's never come clean and told what actually happened here. He really single-handedly perverted the industry."
The release of Dalaly, a 72-year-old businessman who bribed Johnson with at least $68,200, has further fueled the debate. Despite objections from federal prosecutors who argued that Dalaly should serve his full sentence, Judge Beckering granted his release, citing Dalaly's worsening health and the need for medical care outside of prison.
Dalaly's release is the first compassionate release granted by a federal judge in Michigan's Western District in two years. Johnson, citing his own deteriorating health, hopes to follow suit. His request includes support from his daughter and the Osceola County Sheriff, who argue that Johnson has shown remorse and taken steps toward rehabilitation.
However, Johnson's previous attempts to shorten his sentence have been unsuccessful, with Judge Beckering rejecting a request in April under federal sentencing guideline changes. The judge emphasized that Johnson had already benefited from shorter guidelines during his sentencing, underscoring the seriousness of his crimes.
As the legal battles continue, questions remain about the true extent of justice served in this high-profile corruption case and the ongoing impact on Michigan's cannabis industry.
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