VCBC

Order Issued:  Compliance Order of $3,235,465.74 

On May 29, 2019, the Community Safety Unit (CSU) attended a cannabis store operated by the “Victoria Cannabis Buyers Club” (VCBC) located at 826 Johnson Street, Victoria, BC, for the purpose of providing education on the seizure authorities and consequences for selling cannabis contrary to the Cannabis Control and Licensing Act (CCLA).

On November 14, 2019, CSU Officers conducted an enforcement inspection at VCBC’s store pursuant to section 89 of the CCLA. When VCBC continued to operate its cannabis store, CSU Officers conducted a second enforcement inspection on July 15, 2020. During these two enforcement inspections, CSU Officers seized cannabis from VCBC’s store pursuant to section 89(1)(g) of the CCLA.

A BC Society Summary search shows VCBC was incorporated as a society in 2012 and the Statement of Directors and Registered Office listed VCBC’s directors, including Ted Smith. Following a hearing, the Deputy Director concluded on the evidence before her that VCBC was selling cannabis in contravention of section 15 of the CCLA.

After considering all relevant factors, including the need for deterrence, the Deputy Director exercised her discretion under section 94(1) of the CCLA to impose an AMP on VCBC. In reaching this decision, the Deputy Director also considered the statutory purposes underlying the CCLA, which include to prioritize the health and safety of British Columbians, protect children and youth, reduce the illegal cannabis market and support economic development opportunities in the province.

Pursuant to section 94(2)(a) of the CCLA, the amount of the AMP is equal to two times the retail value of the cannabis that was sold, possessed for the purpose of sale or produced in contravention of the CCLA. The Deputy Director calculated the retail value of the cannabis that VCBC sold and possessed for the purpose of sale was $1,617,732.87 and therefore, the AMP imposed on VCBC is $3,235,465.74.

The Deputy Director did not make any determination in the compliance order about whether Ted Smith, or any of VCBC’s officers, directors or agents, may be liable for the AMP imposed on VCBC pursuant to section 94(9) of the CCLA. Such a determination would be the subject of a separate hearing.

See also: VCBC Reconsideration Order