California Bureau of Cannabis Control Seeks Civil Penalties for Unlicensed Commercial Cannabis Activity

On September 24, 2020, the Bureau of Cannabis Control (“BCC”) issued a press release announcing its filing of a complaint seeking civil penalties from Vertical Bliss, Inc., also known as Kushy Punch (“Vertical Bliss”), as well as other related individuals for unlicensed commercial cannabis activity.

For a bit of background, in November of last year, the BCC and the CDPH announced that they had revoked the commercial cannabis licenses issued to Vertical Bliss at its Chatsworth, CA facility. According to that announcement the regulatory authorities had received a complaint of illegal cannabis activity at a location in Canoga Park. Upon searching the facility, regulators found and seized nearly $21 million in illegal cannabis products, including 7,200 illegal vape cartridges. The regulators discovered a link between the Canoga Park facility and the licensed facility in Chatsworth, which is why the Vertical Bliss licenses were revoked.

It is unclear why the BCC and CDPH waited nearly a year after revoking Vertical Bliss’ licenses to file a civil complaint, although the agencies may have been conducting further investigation. According to the press release:

The complaint alleges that Vertical Bliss conducted unlicensed operations on an undisclosed premise in Canoga Park, California, and

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