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Chemainus pot shop shut after RCMP raid, owner avoids criminal conviction

An illegal cannabis dispensary in Chemainus is shutting its doors following an RCMP raid, but the store’s owner is claiming victory after he avoided a criminal conviction.
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Harvested cannabis is shown in a Tuesday, June 26, 2018 file photo. The newly-listed shares of a cannabis-brand company co-founded by two entrepreneurs whose first pot venture was bought by Canopy Growth soared by as much as 26 per cent. THE CANADIAN PRESS/ Tijana Martin

An illegal cannabis dispensary in Chemainus is shutting its doors following an RCMP raid, but the store’s owner is claiming victory after he avoided a criminal conviction.

North Cowichan/Duncan RCMP raided the Leaf Compassion store on Chemainus Road on Jan. 23, seizing what was believed to be cannabis products and issuing two fines under the Cannabis Act for unlawful sale of cannabis.

However, the store’s owner, Kyle Cheyne, said police actually seized CBD oil, which unlike THC, does not produce a high. Cheyne said he’ll be challenging the fines.

Cheyne was in Duncan provincial court on Tuesday to face charges relating to a March 2017 raid on the same dispensary, during which RCMP seized $30,000 worth of cannabis and other merchandise. Cheyne was granted an absolute discharge for charges of possession and trafficking, on the condition that he not operate any illegal dispensaries in Chemainus.

Cheyne said the store is now shuttered and he will not reopen until the province’s Liquor and Cannabis Regulation Board issues a licence.

Cheyne, who has been selling cannabis through illegal dispensaries on Vancouver Island for nine years, said the absolute discharge was important because anyone with a criminal record could have a difficult time getting approval for cannabis retail outlets.

Leaf Compassion Chemainus has already submitted an application to the province and will now have to wait for the District of North Cowichan to decide whether the cannabis retailer meets the requirements of its newly passed bylaws. The dispensary had been operating for years without a business licence from the District of North Cowichan.

Cheyne echoed the frustration of many cannabis business owners that pot legalization actually choked off the supply, with the majority of dispensaries closed as they awaited a lengthy process of licence approval.

The only government-run B.C. Cannabis store is in Kamloops. One Port Hardy private retailer, Stellar Jay Organics, has received conditional approval and is poised to be one of the first privately run legal pot shops on the Island.

“There has to be some kind of access. Right now, the black-market drug dealers are thriving,” Cheyne said.

“This is not what legalization was supposed to look like.”

Cheyne previously waged a legal battle against the City of Victoria for permission to operate the Terp City Canna Lounge, a 19-years-and-over private club on Douglas Street. Terp City was denied a licence under Victoria’s Cannabis-Related Business Bylaw, which prohibits consumption of cannabis in businesses.

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