An illegal marijuana shop run by three Korean American business owners in Los Angeles has been permanently shut down following a crackdown. The business and the owner of the building where it was located were fined $450,000 in civil penalties.
On October 10, L.A. City Attorney Hydee Feldstein Soto announced in a press release that she has permanently shut down a business that has been illegally selling marijuana in South L.A. since 2018.
According to the indictment, the business (2138 W. Florence Ave.) was operated by owners Philip Oh, Jin Kang, and Tony Huang, who each formed a limited liability company (LLC) to illegally sell marijuana since 2018. Notably, there are two elementary schools and a library within a 700-foot radius of the business.
Currently, the state only allows legal marijuana sales outside of 600 feet of K-12 educational facilities. Marijuana advertising is only allowed outside of 1,000 feet of educational facilities.
The City Attorney’s complaint further alleged that the illegal commercial cannabis sales at this property continued through a series of owner/operators – all who utilized shell companies and LLCs to hide their involvement and shirk responsibility tied to the illegal activity.
Over the past four years, the Los Angeles Police Department (LAPD) has received multiple anonymous reports of illegal sales of marijuana (including to minors) on the premises and of some customers using marijuana on nearby streets. There have also been numerous parking citations and frequent car accidents in the area.
In the meantime, the LAPD executed nine search warrants at the business, where the team seized a large amount of marijuana, cash, and firearms. Four undercover officers also collected evidence of illegal marijuana sales. However, the business reportedly remained undeterred by the crackdown and continued to sell marijuana illegally.
Eventually, the L.A. District Attorney’s Office charged the owners and permanently shut down the business. According to the Attorney, “In addition to the civil penalties and being prevented from the illegal commercial cannabis sales, the property owners and operators will be ordered to pay a minimum of $1 million in civil penalties if they violate the law again.”
“Cannabis sales in California are regulated for good reason — to ensure that businesses operate safely and legally, keep cannabis from being sold to children and regulate the industry so as to avoid nuisances and undue concentration of cannabis locations in an area,” said L.A. City Attorney Feldstein Soto.
BY HYOUNGJAE KIM [kim.ian@koreadaily.com]