A federal lawsuit accuses cannabis companies of running a “Chicago cartel” that colludes to keep prices high in Illinois ― but industry participants say the allegations are groundless.
A complex system of high taxes and restrictive licensing undermines the goals of marijuana legalization proponents – leaving $600 million in potential revenue uncollected while helping the illegal drug trade.
A small band of companies collude to control prices, with a pound of branded marijuana in Illinois going for about $4,000, compared with $300 in a competitive market like California, a lawsuit contends.