The Oklahoma Attorney General Gentner Drummond announced yesterday that in the cross-state crackdown on illegal marijuana operation, codenamed “Operation Blunt Force”, organized crime leader Hao Tong Chen has been extradited to Ohio for trial. Chen was arrested in New York City on January 29 and subsequently held at Rikers Island Prison before being transferred to an Ohio prison two days ago. He is facing 18 serious charges, including extortion, conspiracy to defraud the state government, document fraud, aggravated marijuana cultivation, and illegal proceeds.
The prosecution stated that “Operation Blunt Force” resulted in the arrest of 20 individuals, all of whom are now in custody. The investigation targeted a multi-state criminal network led by the 34-year-old main suspect Chen, which is suspected of exploiting loopholes in Oklahoma’s medical marijuana system from 2021 to 2025 to operate a fraudulent licensing scheme. It is estimated that the organization handled around 1 million pounds of marijuana, with a black market value of up to $1.5 billion.
According to the indictment, the organization devised a scheme known as the “nominal owner” plan, recruiting Oklahoma residents to act as nominal farm owners, paying them to use their identities to apply for licenses, thus circumventing the state’s residency requirements for medical marijuana operators and obtaining licenses and related cultivation registrations illegally. After obtaining licenses, they engaged in large-scale cultivation and subsequently diverted products to the black market for sale. They controlled approximately 20 companies and farms spread across 12 states including New York, with some of the funds flowing to China.
Investigators noted that the criminal enterprise involved not only illegal cultivation and trafficking but also money laundering and extortion activities. The prosecution uncovered multiple bank accounts showing large cash deposits and regular wire transfers from New York, used to pay nominal owners and related shell companies. The overall financial transactions spanned 12 states and involved China.
The law enforcement agencies initiated the investigation in March 2024 and carried out over 50 search warrants over two years, seized 14 firearms, destroyed thousands of pounds of illegal marijuana, leading to the deportation of 4 individuals. The individuals involved were located in 8 states including Oklahoma, New York, Texas, Nevada, California, Colorado, Illinois, and Washington. Illegal marijuana was being sold in places like New York.
This case was investigated by 27 federal, state, and local law enforcement agencies across the United States, including the Drug Enforcement Administration (DEA) New York Division and the New York City Police Department. The Queens District Attorney’s Office in New York also provided assistance.
Drummond stated in a press conference that since taking office in 2023, over 9,000 out of more than 12,000 marijuana growing sites in Oklahoma have been shut down, many of which were involved not only in illegal marijuana cultivation but also in fentanyl production and distribution, human trafficking, and sex trafficking. He criticized the lack of regulation following the legalization of medical marijuana in 2018, leading the industry to become a “wild west” of crime.
Regarding the question of whether the medical marijuana industry should be completely terminated, he expressed a complex stance. From an enforcement perspective, he hoped to eliminate the root of crime, stating that he “certainly would like to see the medical marijuana industry go away completely”. However, on the other hand, if the legal industry were to be completely closed, the state government would inevitably face compensation issues as it would be akin to the government seizing private property.
He further pointed out that the belief that tax revenues from the marijuana industry offset enforcement costs is a misconception. The amount invested by law enforcement agencies to combat black market marijuana, fentanyl manufacturing, sex trafficking, and human trafficking reaches “in the billions”, making it difficult to estimate. In Oklahoma, the ratio of related costs to tax revenues could be as high as one hundred to one, indicating that this “exchange” is highly unfavorable for the state.
Moreover, in response to media allegations of the existence of at least one “overseas Chinese police station” in downtown Oklahoma City, Drummond stated, “During some of the arrests and raids, we found Chinese enforcement uniforms and enforcement badges. Although it is still speculative, it appears that the Communist Party of China seems to have inserted law enforcement personnel into their criminal organizations, primarily to sustain the operations of these organizations. Their goal targets the Chinese community, not the general population.”
The prosecution emphasized that “Operation Blunt Force” is an ongoing investigation, and more charges or arrests in the future are not ruled out. The state government stated that Oklahoma is no longer a haven for criminal enterprises and will continue to collaborate with federal agencies to track cross-state and transnational criminal networks.
