NY AG gets $9.5M judgment against illegal Canandaigua pot shop

The New York attorney general’s office has obtained a $9.5 million judgment against the owner of an unlicensed cannabis dispensary in Ontario County.

George West, the owner of Jaydega 7.0, ignored a June 2023 notice and order from the Office of Cannabis Management (OCM) to stop operating without a license, according to the AG’s office.

State officials obtained a judicial closing order that shut down Jaydega 7.0 in November 2023.

The money judgment secured Wednesday requires West to disgorge more than $1 million of illegal profits he got from selling cannabis without a license and pay $8.4 million in penalties for continuing to sell cannabis after being ordered by OCM to stop.

“The owner of Jaydega 7.0 refused to follow the law and ignored repeated warnings to stop selling cannabis without a license,” Attorney General Letitia James wrote in a news release.

“Today, George West must pay $9.5 million for violating our laws and hurting local communities. Stores that sell cannabis must abide by rules and regulations just like any other business in New York,” she wrote.

New York’s Cannabis Law requires any person who cultivates, processes, or sells any cannabis product to be registered and licensed by the New York State Cannabis Control Board.

The law imposes a $10,000 penalty for each day an individual sells cannabis without a license, and a $20,000 penalty for each day an individual continues to sell cannabis after receiving an order to cease operating from OCM. Additional revenue-based civil penalties may also be imposed based on the amount of the unlicensed sales.

The $9.5 million judgment against West resulted from a combination of disgorgement, administrative fines, daily penalties, and revenue-based penalties for West’s unlicensed activities, according to the AG.

West operated his store on Main Street in Canandaigua and was selling cannabis without a license since at least September 2022. On June 28, 2023, OCM conducted an inspection of Jaydega 7.0, confirmed West was selling cannabis without a license, and seized more than 200 pounds of cannabis and cannabis products.

OCM sent West a notice and order to stop operating and requested him to provide an accounting and full financial disclosure of his operations.

West refused to provide the information, but OCM obtained financial records showing that West recorded nearly $2.4 million in sales revenue from June 2022 through October 2023, according to the AG.

West continued to sell cannabis without a license until OCM and OAG obtained a court order mandating the closure of the Jaydega 7.0 store in November 2023.

[email protected] / (585) 232-2035