The owner-operator of six Los Angeles-area "medical marijuana" dispensaries and his wife were arrested Tuesday morning on a host of federal charges, the U.S. Attorney's Office said Tuesday.
One of the dispensaries, based in Compton and named The Holistic Caregivers or THC, was linked to providing products to a man who later was involved in a fatal car accident.
The two defendants arrested Tuesday for the 41-count indictment were identified as Virgil Edward Grant III, 41, of Carson; and his wife, Psytra Monique Grant, 33, also of Carson.
The third defendant named in the indictment was THC employee Stanley Jerome Cole, 39.
The investigation covers THC outlets in Compton, Gardena and Los Angeles; the Western Caregiver Group in Los Angeles; MedXnow.com in Los Angeles and Southern California Caregivers in Van Nuys.
A fourth suspect, Jeremy White, is being sought after it was reported that he collided with a vehicle pulled over by a CHP officer Dec. 19, fatally injuring the driver of the car and paralyzing CHP Officer Anthony Pedeferri.
According to the U.S. Attorney's office, White acknowledged being under the influence of marijuana when the accident took place, saying he had purchased the marijuana from THC in Compton.
"This case demonstrates the harm that can occur when individuals seek to line their pockets while operating under the guise of California's medical marijuana laws," said U.S. Attorney Thomas P. O'Brien in a statement.
Virgil Grant is charged with one drug conspiracy count, four counts of aiding and abetting the distribution of marijuana within 1,000 feet of a school and four counts of maintaining drug-involved premises within 1,000 feet of a school, each of which carries a maximum of 40-years and minimum of five-years. He was also charged with conspiracy to commit money laundering and six counts of money laundering, each of which carries a a maximum sentence of 20 years.
Pshyra Grant is charged in the drug conspiracy count (40-year statutory maximum sentence; 5-year mandatory minimum), as well as the money laundering conspiracy charge and six counts of money laundering. She is also charged with 22 counts of money laundering to avoid the $10,000 federal cash-transaction reporting requirement, each of which carries a maximum possible sentence of 20 years in prison.
Cole is charged in the drug conspiracy count and one count of distributing drugs within 1,000 feet of a school, which has a 10-year statutory maximum penalty.
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