- Profitable MMJ enterprise
- Crowdfunding initiative now underway
- Cannabis industry continues to grow
Despite the baneful reality that cannabis remains a Schedule I substance under the Controlled Substances Act (CSA), signed into law by President Richard Nixon in 1970, all is not weighed against it in the scales of justice. Congressional provisions and federal and state law balance the prohibitive statutory provisions of the CSA. Actions by Congress and the courts to keep the feds at bay offer protection to both medical marijuana (MMJ) dispensaries and their patients. As plans by YiLoLife, Inc. to expand operations beyond Arizona incubate, the company continues its crowdfunding program, which offers individual investors the opportunity to become shareholders in a highly profitable MMJ enterprise.
A thriving MMJ industry in 29 U.S. states and the success of products like Sativex is not enough to convince the U.S. Drug Enforcement Administration (DEA) that cannabis ‘has a currently accepted medical use in treatment in the U.S.’. Therefore, the agency has refused to remove cannabis from Schedule I, which stigmatizes it as having less merit than cocaine and morphine, both of which, by contrast, appear on Schedule II. Consequently, anyone convicted of trafficking cannabis, for example, can face up to five years in federal prison and up to a $250,000 fine for his or her first offense.
The restrictive DEA approach has, however, not been endorsed by the courts. Last August, the largest appeals court in the nation, the Ninth U.S. Circuit Court of Appeals in San Francisco, ruled that the Department of Justice could not use the CSA to prosecute MMJ dispensaries that are in compliance with state laws. The ruling relied on a congressional measure, known as the Rohrabacher-Farr amendment and first approved in 2014, that prohibits the Justice Department from spending funds to interfere with implementation of state medical marijuana laws. Rohrabacher-Farr was renewed in April 2017, but a provision to make it permanent (it must be renewed every year) written into the Compassionate Access, Research Expansion and Respect States Act, or CARERS Act, failed to gain traction, after the Senate Judiciary Committee refused to hold a hearing.
However, the judges appear to be stepping into the breach. In December 2016, the Arizona Court of Appeals ruled that medical marijuana patients arrested for driving under the influence of the drug can contest DUI charges by arguing before a judge that they weren’t too high to operate an automobile. To make a DUI charge stick, a prosecutor must be able to prove that an alleged offender was too impaired to drive, even when a blood test was positive. YiLoLife is based in Arizona, where its sole client, licensee, lessee, and customer, Natural Relief Clinic (NRC), operates the MMJ YiLo Superstore, located at 2841 W Thunderbird Road in Phoenix.
As these congressional and court protections look likely to remain in place, YiloLife is eyeing the vista in other states, hungering to repeat the success it has enjoyed in its home state. The company has received approval from the Securities and Exchange Commission (SEC) to offer 5,000,000 shares of its Class A Common Stock, at $3.28 per share, to the public under a Regulation A+ filing. YiLoLife plans to use some $12.0 million from this share offering in adding fixed assets for cultivation, food processing and distribution. A further $1.5 million will be expended on equipment, furniture and fixtures, and $1.0 million will go to improve security. The remaining $1.9 million will bolster working capital.
For more information, visit www.YiLo.com
The crowd-funding page is at http://www.YiLo.com/stocks2841