Cannabis Business Owner Wins $1.9M in California Corruption Case
Cannabis Business Owner Wins $1.9M in California Corruption Case

A Los Angeles-area cannabis company owner has been awarded $1.9 million in a civil lawsuit over a corrupt licensing process, with local officials ordered to personally pay most of the damages. The verdict, reached earlier this month, targets officials in Baldwin Park, California, for their roles in alleged bribery and misconduct.

David Ju, owner of a cannabis company, alleged that former city attorney Robert Tafoya, council member Manny Lozano, former council member Ricardo Pacheco, and Compton councilman Isaac Galvan were involved in a scheme that forced him to pay over $900,000, mostly in cash, for a license originally purchased for $4,000. The city was found negligent and ordered to pay $290,000, while the defendants owe $1.6 million.

Ju’s attorney, David Gabriel Torres-Siegrist, stated, “These strangers from the community came forward and said no, you’re not going to get away with this. They held this city and these people accountable.” The lawsuit also revealed that a city clerk notarized a document falsely stating Ju was present when he was out of town.

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The city of Baldwin Park responded, “The city respects the judicial process and acknowledges the jury’s verdict. The court has not issued a final judgment yet. The city is examining its options.” The city had countersued Ju for over $2 million in fees, but the jury rejected those claims.

Tafoya and Pacheco have previously pleaded guilty to federal bribery charges related to cannabis licensing investigations. The FBI seized over $80,000 from Pacheco, including $62,900 he buried in his yard. Galvan, who allegedly acted as an intermediary, failed to appear in court and received a default judgment. He has denied wrongdoing.

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