New York City Cash Seized from Illegal Marijuana Shops Under Investigation by Authorities

The crackdown on illegal marijuana shops by the New York City Sheriff’s Office through the “Padlock to Protect” operation has been yielding success. However, the flow of confiscated cash during law enforcement operations has now drawn the attention of the New York City Department of Investigation (DOI).

Following Politico’s report last Friday that the DOI is investigating the Sheriff’s Office and its leader Anthony Miranda, media outlets have been revealing details of the investigation. According to the New York Daily News on the 23rd, the DOI is looking into the destination of the cash seized in the “Padlock to Protect” operation. The New York Post cited sources saying that the investigation by the DOI is related to Miranda allegedly avoiding enforcement actions due to receiving contributions from specific groups.

ABC reported on the 24th that in response to the investigation of the Sheriff’s Office, the city government issued a statement saying, “The New York City Sheriff’s Office works tirelessly day and night to protect New Yorkers, especially young people, from the health and safety threats posed by illegal marijuana shops. Through the ‘Padlock to Protect’ operation, we have shut down over 1,100 illegal (marijuana) shops and seized illegal products worth approximately $66 million. We will continue to act in accordance with the law to maintain public safety.”

Just last Tuesday (September 17), Democratic New York City Council member Justin Brannon questioned Sheriff’s Office leader Miranda during a hearing of the Oversight and Investigations Committee about the destination of confiscated cash.

According to the council’s video replay, Brannon stated during the hearing that Miranda had previously submitted a letter to the council stating that the Sheriff’s Office does not confiscate cash, while the Police Department does so for “safekeeping” and investigative purposes. Brannon then asked Miranda, “To your knowledge, have Sheriff’s Office personnel seized cash during any store raids?”

Miranda replied, “I don’t believe so,” after confirming that the question referred to the “Padlock to Protect” operation.

Brannon then raised the question, “Which asset forfeiture account is the seized cash deposited into?” Miranda stated he was unsure and would provide further clarification later.

The “Padlock to Protect” operation was launched by New York City Mayor Eric Adams on May 7, 2024, with the Sheriff leading enforcement alongside the New York City Department of Consumer and Worker Protection (DCWP) and the NYPD. Miranda stated during the hearing that 180 people participated in the operation, with 30 assigned by the Sheriff’s Office and the rest from the Police Department and DCWP.

According to the State Comptroller’s Office report, the Sheriff’s Office had a total of $867,000 in the forfeiture account for the 2023 fiscal year, with an annual income of $295,000. Miranda denied any expected revenue in the forfeiture account for the 2025 fiscal year during the hearing.

When Brannon asked how much cash had been seized since the inception of the “Padlock to Protect” operation, Miranda did not directly address the question. Instead, he mentioned that the seized vouchers were handed over to the NYPD after the operation began. The Police Department cited reasons for safeguarding the vouchers, including “safekeeping” and as evidence for investigations, depending on the circumstances.

Brannon continued pressing Miranda, asking for confirmation, “You don’t know how much (money) exactly?” Miranda once again stated that he was uncertain but would provide a response after confirming with the Police Department.