Marijuana Stocks to Buy on a Federal Crackdown
- Author: Larry Hoffman Feb 28, 2017,
Feb 28, 2017, 22:26
"I would just say it remains a violation of federal law to distribute marijuana throughout any place in the United States, whether a state legalizes it or not".
"I do believe you'll see greater enforcement of it", Spicer said federal laws against recreational marijuana.
In a meeting with reporters, Sessions said the department was reviewing an Obama administration Justice Department memo that gave states flexibility in passing marijuana laws.
Other lawmakers, such as John Hickenlooper, the Democratic governor of Colorado have expressed caution about speculating what the Trump Administration "may or may not do", with regards to enforcing federal laws on states that have legalized marijuana. "On the campaign trail, President Trump clearly and repeatedly pledged that he would leave decisions on cannabis policy to the states".
He reiterated that there is a distinction between medical and recreational marijuana, and admitted that while the former does ease the pain of those suffering from terminal disease, the latter is not permitted under federal law. However, the crackdown could have a neutral or even positive impact on some marijuana stocks.
"My office will use every tool at our disposal to ensure that the federal government does not undermine Washington's successful, unified system for regulating recreational and medical marijuana", Ferguson added.
The statements from Spicer are adding to fears within the industry over the future of legal weed across the country, specifically now that Jeff Sessions is attorney general. As of today, the recreational use of marijuana is legal in Alaska, California, Colorado, the District of Columbia, Maine, Massachusetts, Nevada, Oregon and Washington.
Communications director Mason Tvert of the Marijuana Policy Project has asserted that a DOJ crackdown on cannabis industries would be an infringement on states' rights.
In Colorado, the marijuana industry generated more than $1.3 billion in sales in 2016, netting the state almost $200 million in tax revenue. "It is hard to imagine why anyone would want marijuana to be produced and sold by cartels and criminals rather than tightly regulated, tax paying businesses".
Spicer provoked more criticism after tying the national opioid epidemic to recreational marijuana legalization, despite research showing marijuana can aid opioid addiction and serve as a safer, alternative painkiller. Nevertheless, the timing of the bill's introduction, the bipartisan support it has garnered to date (half of its current cosponsors are Republicans), and the announcement of the Caucus indicate a growing tension between Congress-including some members of President Trump's own party-and the Administration with respect to the enforcement of federal marijuana laws.