Global Ganja Report

Earlier this month, the National Cancer Institute nodded to a growing body of studies indicating that one of the chemical compounds in cannabis slows—or stops—uncontrolled cell growth. In one study, tumors in lab mice shrank once exposed to the compound CBD. The NCI updated its website to include a reference to a "possible direct antitumor effect" from cannabis. But sometime since, the reference was removed, much to cannabis advocates' disgust.

The IRS is believed to have opened audits on at least 12 medical cannabis dispensaries in California under the determination that past deductions are invalid because of a clause in the federal tax code prohibiting any enterprise that traffics in Schedule I or II drugs from making business deductions. The move could bankrupt every dispensary that it targets. The first dispensary to receive a final audit decision from the IRS is the Marin Alliance for Medical Marijuana (MAMM) in Fairfax.

More than a dozen local and federal law enforcement agencies conducted aggressive criminal raids March 14 on 26 medical marijuana dispensaries and grow sites in 13 Montana cities, according to a press release issued by US Attorney Michael W. Cotter. Federal agencies involved in the raid included the Drug Enforcement Administration, Immigration and Customs Enforcement, Internal Revenue Service, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Federal Bureau of Investigation. No arrests were made, but the US Attorney has alleged probable cause for several federal criminal violations.

Los Angeles voters approved a new medical marijuana tax March 8 that proponents say could raise millions of dollars for the city—although the measure was opposed by advocates and opponents of medicinal cannabis alike. Measure M, which passed with 59% of the vote, allows Los Angeles to collect $50 in taxes for every thousand dollars collected by medical marijuana clinics. (KABC, LA, March 9)

A vote to be held in Los Angeles Tuesday March 8 threatens to increase the cost of an already expensive treatment for medical marijuana patients in the city. Measure M, one of 10 ballot measures facing LA voters, would increase taxes on medical cannabis by 5%, above the nearly 10% patients already pay in sales tax. Patient advocates have come out in opposition to the measure, asking the city to find other sources of revenue and to remove the tax burden from medicinal users.

Representatives in the Minnesota legislature have proposed a bill to allow farmers to grow medical cannabis for resale to dispensaries in states that have legalized use and sale of marijuana for medical conditions. The House bill, HF0662, was introduced by members of the Democratic-Farmer-Labor Party (DFL).

The Supreme Court heard arguments Feb. 28 in DePierre v. United States, on whether the term "cocaine base" in the Federal Sentencing Guidelines is limited to "crack" or includes all forms of cocaine chemically classified as a base. The US First Circuit Court of Appeals in Boston ruled that "cocaine base" refers to "all forms of cocaine base, including, but not limited to crack cocaine." Counsel for the petitioner argue that Congress did not intend "cocaine base" to refer to substances used in the crack-production process.

Dubbed the "Wal-Mart of Weed," the 10,000-square-foot weGrow store, set to open this weekend at 1537 Fulton Ave. in Sacramento, is the first franchise for a company that calls itself a supply and training destination for legal cannabis cultivators. The enterprise started in Oakland last year as a warehouse store called iGrow. Now the Oakland location is being reorganized as a distribution hub for a network of retail hydroponics outlets. The Sacramento store—billed as "the first honest hydro store"—is to be followed by weGrow stores in Arizona, Colorado, New Jersey and Oregon in coming months.