Virginia fines hemp businesses nearly $11 million for violating rules

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Authorities in Virginia levied $10.77 million in fines on almost 350 businesses across the state for violating rules restricting intoxicating hemp-derived cannabinoid products.

According to Axios Richmond, nearly 82% of hemp businesses visited by Virginia regulators were in violation of the new rules, which went into effect July 1, 2023.

Of the 424 businesses inspected by the state’s Department of Agriculture and Consumer Services, 346 were in violation, the online news outlet reported.

Between July 1, 2023, and June 30, 2024, Virginia issued a total of 17,715 violations.

Of the $10.77 million assessed in civil penalties, only $433,262 has been collected, Axios Richmond reported.

In a smaller-scale crackdown about a year ago, the state issued five noncompliance letters to businesses, with fines ranging from $13,000 to $97,500.

Virginia’s rules legislating hemp products limit the amount of THC to 0.3%, with no more than 2 milligrams in individual products.

The only exception is if there’s a 25-to-1 ratio of CBD to THC, which would nullify most intoxicating effects for most people.

Additional requirements include child-resistant packaging and restrictions on labeling.

Hemp industry advocates claim federal protection for such products under the 2018 Farm Bill.

However, federal authorities have cracked down on merchants selling hemp products with excessive THC and contained in packaging that mimics the branding of popular snacks and cereals.