Police arrested two men who ran a San Jose marijuana dispensary that was raided Thursday, a Santa Clara County deputy district attorney said.
San Francisco residents Ben Lew and Brian Wong have been charged with possession of marijuana for sale, selling marijuana and maintaining a place to sell marijuana, all felonies, Deputy District Attorney Edward Liang said.
Lew owns San Jose Organics, a marijuana dispensary in the first block of Tully Road near the Santa Clara County Fairgrounds, which has been operating since April 2013, Liang said.
“This was a business hiding behind medical marijuana laws and profiting off of that,” Liang said.
The raid was a result of a months-long joint investigation by the Santa Clara County District Attorney’s Office and San Jose police, he said.
Investigators went to San Jose Organics this morning when they executed a search warrant and arrested Wong, who manages the dispensary, according to Liang.
Lew was arrested in San Francisco Thursday and will be booked into Santa Clara County jail, Liang said.
The men, whose bail was set at $1 million each, may face additional charges, according to Liang.
Authorities from other state agencies including the Employment Development Department and Board of Equalization were also involved in Thursday’s operation, Liang said.
Investigators are looking into whether the men allegedly committed white-collar crimes including tax fraud, workers compensation fraud and insurance fraud, he said.
Liang could not provide details on how the investigation into San Jose Organics began as the search into the business continues this afternoon.