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IVN: The Great Hemp Hoax: White Paper Reveals How Synthetic Cannabis Masquerades as Legal Hemp


EXCERPT:


California consumers who believe they are purchasing legal, natural hemp products may be getting more than they bargained for. A shocking new study reveals that much of what’s sold as “hemp” today is, in reality, a mix of synthetic intoxicants and illicit THC—compounds that could pose significant health risks and violate state and federal laws.


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The True THC Content of “Hemp” Products


The study found that the “hemp” products tested frequently exceeded legal THC limits:

  • 84 percent of gummies exceeded the THC per serving cap.

  • 81 percent surpassed the total THC per package cap.

  • The average package of “hemp” gummies contained 1,388 mg of THC—nearly 14 times California’s legal limit for cannabis products.

  • The average THC per gummy was 89 mg—almost 9 times the per-serving cap in California’s cannabis market.

  • Over one-third of the gummies (11 of 31) contained between 100 and 325 mg of THC per piece.

These findings suggest that many of the “hemp” products contain significantly higher THC levels than permitted in the regulated cannabis market.


A Public Health Time Bomb


The prevalence of synthetic cannabinoids is not just a regulatory transgression—it’s a growing public health concern. The study found that nearly half of the tested products contained THCP, a synthetic compound up to 30 times stronger than delta-9 THC. High-potency synthetics have been linked to strokes, seizures, psychosis, and even death. The presence of other psychoactive additives, such as kratom and hallucinogenic mushrooms, only compounds the risks.


“These products are dangerous in a way that natural products found in licensed cannabis dispensaries are not,” said one of the study’s authors. “We’re essentially seeing a resurgence of unregulated designer drugs, like ‘Spice’ and  K2,’ disguised as legal hemp.”


A Loophole Exploited for Profit


The study also highlights how the so-called “hemp” industry is exploiting regulatory and enforcement gaps for financial gain. Because extracting delta-8 or delta-9 THC from hemp is highly inefficient and cost-prohibitive, many manufacturers resort to chemical synthesis—converting CBD into THC using corrosive solvents and heavy metals. The result? A flood of cheap, high-potency synthetic cannabis entering the market under the guise of “hemp.”


Adding to the problem is widespread tax evasion. The study found that 91 percent of these products were sold without collecting California’s required sales taxes, and none of the vendors remitted the state’s cannabis excise tax when legally obligated to do so. This deprives the state of vital revenue meant for public health, enforcement, and environmental mitigation while giving synthetic hemp vendors an unfair advantage over the regulated cannabis industry.


No Oversight, No Accountability


Despite the clear prohibition of synthetic cannabinoids under California’s Assembly Bill 45 (2021) and the recent emergency regulations banning any detectable THC in hemp products, unregulated THC products are still widely available online—often shipped illegally through the U.S. Postal Service without age verification. Major brands such as Cheech & Chong’s Kosmic Chews, Cookies, and 3Chi were among those found to be selling illicit products in California.


Even well-known companies like CANN and St. Ides (owned by Pabst) were caught violating state laws. Some brands claim ignorance, blaming third-party distributors for selling their products in California. Others, such as Dazed, openly advertise their partnerships with online “hemp superstores.”


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The study’s authors argue that all THC-containing products should be regulated under California’s cannabis framework. This would remove ambiguity around oversight, ensure transparency and accountability, and protect consumers.

“When California voters legalized cannabis, it was with the explicit intent of eliminating the illicit market. Today’s unregulated, high-potency synthetics market is simply another incarnation of the illicit market. It needs to be stopped in its tracks before more people get hurt,” said one investigator. 


“These illicit operations aren’t just dangerous — they’re undercutting California’s regulated cannabis businesses and workers,” said Kristin Heidelbach, Legislative Director of the United Food and Commercial Workers, Western States Council. “While licensed cannabis businesses provide good union jobs and comply with strict labor standards, many synthetic ‘hemp’ producers manufacture out-of-state or import from overseas, dodging California’s labor laws and tax obligations.”


“We’re seeing sophisticated bad actors pushing a new wave of designer drugs, often shipping them across state lines through the U.S. Postal Service — a federal crime — with no age verification or safety oversight,” said Robert Dean, a licensed California Private Investigator and retired homicide sergeant.


"California voters never intended for intoxicating ‘hemp’ products to bypass our regulated cannabis system," said Amy O’Gorman Jenkins, Executive Director of the California Cannabis Operators Association (CCOA). "Governor Newsom’s emergency regulations were a critical first step, but they expire in March 2025. Their reauthorization is essential. We also urge the Legislature to advance policies that ensure all intoxicating cannabinoid products are subject to robust regulatory oversight and stronger enforcement — especially against online retailers disregarding our consumer protection laws."


As policymakers debate the future of hemp regulations, one thing is clear: without action, the pseudo-hemp industry will continue to operate in the shadows—endangering public health, evading taxes, and undermining California’s legal cannabis market. Consumers deserve transparency, safety, and accountability—none of which exist in today’s unregulated hemp industry.

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HempHoax.com is an educational and advocacy project of the San Diego/Imperial Counties Joint Labor Management Cannabis Committee.

 

General contact: hemphoax@gmailcom​

Media contact: Laura Braden

laura@onmessage.co

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