unreported $80 – California prosecutors say Pin Hsien Hsu ran about 30 unlicensed dispensaries and evaded $7.1 million in taxes, failing to report roughly $80 million in sales.
A Southern California man facing dozens of felony charges is accused of running unlicensed marijuana dispensaries while evading millions in taxes, with prosecutors alleging he failed to report about $80 million in cannabis sales.
California state prosecutors said Pin Hsien Hsu. 46. operated roughly 30 unlicensed cannabis dispensaries across Los Angeles. Orange and San Bernardino counties between April 2019 and November 2022.. Authorities allege that during that period he did not file sales tax returns and failed to report approximately $80 million in sales. contributing to what prosecutors describe as $7.1 million in tax losses.
“Tax evasion is not a victimless crime,” California Attorney General Rob Bonta said during a news conference on Wednesday.. “When someone intentionally cheats the system and refuses to pay what they legally owe the consequences are felt by all of us.. That’s money that should be going towards schools. towards public safety. towards transportation and healthcare and other essential services Californians rely on every single day.”
It was not immediately clear whether Hsu has entered a plea, or whether he has an attorney. He could not be reached for comment on Thursday.
Investigators executed search warrants at the businesses and seized about $2.2 million in cash. 125 pounds of cannabis products. and additional items they say were evidence related to the operation.. The attorney general’s office said the seizure included plastic bags stuffed with marijuana. 62 electronic devices. and 14 boxes of related materials.
A criminal complaint also points to banking activity. Prosecutors said a review of accounts at Wells Fargo and Bank of America showed deposits exceeding $25,000 each month between January 2019 and February 2023.
Hsu has been charged with 66 counts, including failing to file a sales tax return, engaging in business without a permit, and money laundering. Prosecutors also brought a white-collar crime enhancement alleging tax losses of more than $500,000, according to the complaint.
If convicted of all charges, Hsu faces more than 50 years in state prison.
cannabis tax evasion unlicensed dispensaries California attorney general money laundering charges Southern California crime state prison exposure
80 million and they caught him lol
wait so he was selling weed illegally this whole time and nobody noticed 30 stores that is insane how does nobody catch that for like 3 years, my cousin got pulled over for a joint and lost his license but this guy runs 30 shops no problem ok california
This is exactly why they legalized it in the first place, so the government could tax it and make money off it, and now people are STILL finding ways around it which honestly I get it taxes in california are already ridiculous I mean have you seen what they charge for everything out there, but also 50 years in prison seems way too harsh for weed like there are murderers getting less than that which just shows you how messed up the whole system is when it comes to money crimes vs actual violent stuff, anyway hopefully this sends a message but I doubt it will.
I read this wrong at first and thought the government was the one not reporting the money which honestly wouldnt even surprise me at this point, either way somebody gotta pay and its always the regular people who suffer