The state of California just sent out letters to businesses that may be selling cannabis without a license. The letters threaten criminal and civil penalties. The state believes many of the companies are posing as retail and delivery services but are secretly operating in the cannabis industry illegally.

California was free of much cannabis regulations and recently were given legal rules at the beginning of the year. The new state licensing requirements have been evaded by many who initially was operating in the weed industry due to high fees and unreasonable conditions in their opinion.

Los Angeles Police Department has arrested over 35 people in raids of unlicensed shops. About 100 licenses have been given out to medical marijuana companies, but LAPD believes three times that amount are operating in Los Angeles. They plan on continuing to crack down on this type of illegal activity.