
N.Y.C. Cannabis Boss Resigns Amid Sexual Harassment Investigation
An official in charge of helping people start cannabis businesses in New York City resigned abruptly last week as her agency was investigating an accusation that she tried to pressure another woman into a polyamorous relationship in exchange for a city contract.
The official, Dasheeda Dawson, who stepped down last Tuesday from a program called Cannabis NYC, denied the accusation and said in a statement that her 'decision to resign is unrelated and was not made lightly.'
City officials have not named a replacement, and the mayor's office declined to comment about her departure.
Ms. Dawson, 46, said she was informed of a complaint last July and cooperated with Equal Employment Opportunity investigators through September, but had not heard anything of it since.
The complaint was filed by Jamila Washington and Monifa Foluke, co-owners of Repot Box, an app that helps dispensaries reward consumers for recycling packaging like empty vape hardware.
In an interview on Sunday, Ms. Washington accused Ms. Dawson of blacklisting the company after she rebuffed her advances for a relationship, including using her influence to have Repot removed from conference panels and events.
'She killed our small business intentionally,' Ms. Washington said. She added, 'If it was a man, people would understand what the problem was.'
Ms. Washington said the proposed relationship also involved a former business partner, a woman whom she and Ms. Dawson were both dating.
An investigator planned to interview Ms. Dawson about the complaint, according to Memphis Washington, Ms. Washington's sibling and a partner in Repot Box, who was interviewed by the investigator on March 10.
In her statement, Ms. Dawson said she 'carried out my role with integrity.'
'The allegations were fabricated and contradict everything I stand for and the professional reputation I've built over many years,' she said.
Her departure was reported by Politico.
Ms. Washington said she initially filed a complaint last spring with the city's Department of Investigation, but it was referred to the Department of Small Business Services, which oversees Cannabis NYC.
The current status of the case is unclear. Small Business Services declined to confirm or deny that there had been an E.E.O. complaint, citing confidentiality, but said it takes all allegations seriously. The agency also thanked Ms. Dawson 'for her service to the city's community of cannabis entrepreneurs.'
Ms. Dawson was the first director of Cannabis NYC, which was created in 2022 to streamline city services to help people find jobs and open businesses in the nascent legal industry. In her resignation letter, Ms. Dawson listed the program's achievements.
'We've shared a common goal: to build a new cannabis market that is equitable, accessible, sustainable and safe,' she said. 'Together, we have not only laid the groundwork for a thriving legal industry in New York City, but also implemented groundbreaking and impactful initiatives that have set a new precedent for cannabis policy and practice nationwide.'
She stepped into the role in October 2022 to fight stigma against cannabis that she said was stifling dialogue about how it could be used safely and to empower communities battered in the war on drugs. In office, she led an educational tour through the five boroughs, helped to start a cannabis job-training program for people who have been arrested and oversaw the creation of an $8 million business loan program for the first wave of licensed dispensaries opening in the city.
Though she was a city official, Ms. Dawson was a vociferous defender of the state's rollout of recreational cannabis. She said it had come together as quickly as those of other states in the Northeast that had not prioritized small businesses and Black and brown neighborhoods where arrests for marijuana were disproportionately high. When lawsuits held up dispensary openings, she helped to organize cannabis farmers' markets in the city that helped to sell off some of the state's harvest.
Ms. Dawson did not disclose what she plans to do next, but said in her resignation letter that she wanted to expand her impact at the state and federal level.
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CNN
36 minutes ago
- CNN
How a Supreme Court decision backing the NRA is thwarting Trump's retribution campaign
As Harvard University, elite law firms and perceived political enemies of President Donald Trump fight back against his efforts to use government power to punish them, they're winning thanks in part to the National Rifle Association. Last May, the Supreme Court unanimously sided with the gun rights group in a First Amendment case concerning a New York official's alleged efforts to pressure insurance companies in the state to sever ties with the group following the deadly 2018 school shooting in Parkland, Florida. A government official, liberal Justice Sonia Sotomayor wrote for the nine, 'cannot … use the power of the State to punish or suppress disfavored expression.' A year later, the court's decision in National Rifle Association of America v. Vullo has been cited repeatedly by federal judges in rulings striking down a series of executive orders that targeted law firms. Lawyers representing Harvard, faculty at Columbia University and others are also leaning on the decision in cases challenging Trump's attacks on them. 'Going into court with a decision that is freshly minted, that clearly reflects the unanimous views of the currently sitting Supreme Court justices, is a very powerful tool,' said Eugene Volokh, a conservative First Amendment expert who represented the NRA in the 2024 case. For free speech advocates, the application of the NRA decision in cases pushing back against Trump's retribution campaign is a welcome sign that lower courts are applying key First Amendment principles equally, particularly in politically fraught disputes. In the NRA case, the group claimed that Maria Vullo, the former superintendent of the New York State Department of Financial Services, had threatened enforcement actions against the insurance firms if they failed to comply with her demands to help with the campaign against gun groups. The NRA's claims centered around a meeting Vullo had with an insurance market in 2018 in which the group says she offered to not prosecute other violations as long as the company helped with her campaign. 'The great hope of a principled application of the First Amendment is that it protects everybody,' said Alex Abdo, the litigation director of the Knight First Amendment Institute. 'Some people have criticized free speech advocates as being naive for hoping that'll be the case, but hopefully that's what we're seeing now,' he added. 'We're seeing courts apply that principle where the politics are very different than the NRA case.' The impact of Vullo can be seen most clearly in the cases challenging Trump's attempts to use executive power to exact revenge on law firms that have employed his perceived political enemies or represented clients who have challenged his initiatives. A central pillar of Trump's retribution crusade has been to pressure firms to bend to his political will, including through issuing executive orders targeting four major law firms: Perkins Coie, Jenner & Block, WilmerHale and Susman Godfrey. Among other things, the orders denied the firms' attorneys access to federal buildings, retaliated against their clients with government contracts and suspended security clearances for lawyers at the firms. (Other firms were hit with similar executive orders but they haven't taken Trump to court over them.) The organizations individually sued the administration over the orders and the three judges overseeing the Perkins Coie, WilmerHale and Jenner & Block suits have all issued rulings permanently blocking enforcement of the edicts. (The Susman case is still pending.) Across more than 200-pages of writing, the judges – all sitting at the federal trial-level court in Washington, DC – cited Vullo 30 times to conclude that the orders were unconstitutional because they sought to punish the firms over their legal work. The judges all lifted Sotomayor's line about using 'the power of the State to punish or suppress disfavored expression,' while also seizing on other language in her opinion to buttress their own decisions. Two of them – US district judges Beryl Howell, an appointee of former President Barack Obama, and Richard Leon, who was named to the bench by former President George W. Bush – incorporated Sotomayor's statement that government discrimination based on a speaker's viewpoint 'is uniquely harmful to a free and democratic society.' The third judge, John Bates, said Vullo and an earlier Supreme Court case dealing with impermissible government coercion 'govern – and defeat' the administration's arguments in defense of a section of the Jenner & Block order that sought to end all contractual relationships that might have allowed taxpayer dollars to flow to the firm. 'Executive Order 14246 does precisely what the Supreme Court said just last year is forbidden: it engages in 'coercion against a third party to achieve the suppression of disfavored speech,'' wrote Bates, who was also appointed by Bush, in his May 23 ruling. For its part, the Justice Department has tried to draw a distinction between what the executive orders called for and the conduct rejected by the high court in Vullo. They told the three judges in written arguments that the orders at issue did not carry the 'force of the powers exhibited in Vullo' by the New York official. Will Creeley, the legal director at the Foundation for Individual Rights in Education, said the rulings underscore how 'Vullo has proved its utility almost immediately.' 'It is extremely useful to remind judges and government actors alike that just last year, the court warned against the kind of shakedowns and turns of the screw that we're now seeing from the administration,' he said. Justice Department lawyers have not yet appealed any of the three rulings issued last month. CNN has reached out to the department for comment. In separate cases brought in the DC courthouse and elsewhere, Trump's foes have leaned on Vullo as they've pressed judges to intervene in high-stakes disputes with the president. Among them is Mark Zaid, a prominent national security lawyer who has drawn Trump's ire for his representation of whistleblowers. Earlier this year, Trump yanked Zaid's security clearance, a decision, the attorney said in a lawsuit, that undermines his ability to 'zealously advocate on (his clients') behalf in the national security arena.' In court papers, Zaid's attorneys argued that the president's decision was a 'retaliatory directive,' invoking language from the Vullo decision to argue that the move violated his First Amendment rights. ''Government officials cannot attempt to coerce private parties in order to punish or suppress views that the government disfavors,'' they wrote, quoting from the 2024 ruling. 'And yet that is exactly what Defendants do here.' Timothy Zick, a constitutional law professor at William & Mary Law School, said the executive orders targeting private entities or individuals 'have relied heavily on pressure, intimidation, and the threat of adverse action to punish or suppress speakers' views and discourage others from engaging with regulated targets.' 'The unanimous holding in Vullo is tailor-made for litigants seeking to push back against the administration's coercive strategy,' Zick added. That notion was not lost on lawyers representing Harvard and faculty at Columbia University in several cases challenging Trump's attacks on the elite schools, including one brought by Harvard challenging Trump's efforts to ban the school from hosting international students. A federal judge has so far halted those efforts. In a separate case brought by Harvard over the administration's decision to freeze billions of dollars in federal funding for the nation's oldest university, the school's attorneys on Monday told a judge that Trump's decision to target it because of 'alleged antisemitism and ideological bias at Harvard' clearly ran afoul of the high court's decision last year. 'Although any governmental retaliation based on protected speech is an affront to the First Amendment, the retaliation here was especially unconstitutional because it was based on Harvard's 'particular views' – the balance of speech on its campus and its refusal to accede to the Government's unlawful demands,' the attorneys wrote.
Yahoo
38 minutes ago
- Yahoo
Morning Bid: Trump-Musk bust-up smolders
By Mike Dolan LONDON (Reuters) - What matters in U.S. and global markets today Donald Trump's hotly anticipated meetings with the leaders of the world's two other biggest economies ended up being sideshows compared to his online bust-up with billionaire backer Elon Musk. It's Friday, so today I'll provide a quick overview of what's happening in global markets and then offer you some weekend reading suggestions away from the headlines. Today's Market Minute * White House aides scheduled a call between Donald Trump and Elon Musk for Friday, Politico reported, after a huge public spat that saw threats fly over government contracts and ended with the world's richest man suggesting the U.S. president should be impeached. * U.S. President Donald Trump and Chinese leader Xi Jinping confronted weeks of brewing trade tensions and a battle over critical minerals in a rare leader-to-leader call on Thursday that left key issues to further talks. * China has signalled for more than 15 years that it was looking to weaponise areas of the global supply chain, a strategy modelled on longstanding American export controls Beijing views as aimed at stalling its rise. The scramble in recent weeks to secure export licences for rare earths shows China has devised a better, more precisely targeted weapon for the trade war. * By any measure, the recent resilience of U.S. stocks is remarkable, with Wall Street powering through numerous headwinds to erase all its tariff-fueled losses and move into positive territory for the year. Reuters columnist Jamie McGeever explains why the rally may still have some juice left in it. * There are some tentative early signs that weak thermal coal prices are starting to boost import demand among Asia's heavyweight buyers China and India. Read Reuters Columnist Clyde Russell to find out more. Trump-Musk bust-up smolders For markets trying to navigate everything from creeping signs of labor market weakness to the latest European Central Bank easing, the spat between the U.S. president and the world's richest man proved more than a distraction. It remains to be seen if it overshadows the May payrolls report later on Friday. The extraordinary sparring match drew in other major political and business figures and included potentially seismic accusations and threats. In turn, the share price of Musk's Tesla plummeted almost 20% at one point, dragging Wall Street stock indexes and crypto tokens deep into the red. The public feud appeared to cool off somewhat overnight and allowed stock futures to regain some lost ground. But the fact that the spat overshadowed the other major events of the day was another marker of this administration's unpredictability. The substance of the row was over Trump's "one big beautiful" fiscal bill that Musk thinks is a "disgusting abomination" due to the amount of spending. The bill, which has yet to be passed by the Senate, is expected to add $2.4 trillion to the U.S. debt over the next decade, based on CBO estimates. The vast bulk of this will likely be incurred over the next four years. In the background, the call between Trump and China's President Xi Jinping delivered no breakthroughs in the trade row apart from warmer words and an agreement to resume talks. The Oval Office meeting with Germany's Chancellor Friedrich Merz was relatively positive about trade and diplomatic issues. Earlier in the day, the ECB cut rates again as expected and suggested that there may be a pause at its next meeting and that it could be near the end of its easing cycle now that 'real' inflation-adjusted rates are back near zero. The euro hit a six-week high on Thursday regardless, although it gave back those daily gains today. Rising weekly U.S. jobless claims, meantime, cast a shadow over today's release of the May employment report. Consensus forecasts are for a slowdown in payroll growth to 130,000. Treasury yields, which ebbed and flowed all day on the conflicting signals from the trade meetings and stock gyrations, are back hovering at the week's lows ahead of the jobs report. Even though Federal Reserve officials continue to signal caution about the uncertain outlook ahead, markets are now priced for a resumption of Fed cuts by September. Into the already confusing mix, the Treasury released its annual report on potential currency manipulation overseas, adding Switzerland and Ireland to its watchlist, which already includes China, Japan, Germany, South Korea, Taiwan, Singapore and Vietnam. The list likely carries more heft than usual amid multiple tense trade negotiations. Markets assume the U.S. may pressure other countries to let their currencies appreciate versus the dollar as part of deals to avert severe tariffs being re-imposed next month. The Swiss National Bank responded on Friday by saying it would intervene in currency markets where necessary to keep inflation on track. Intervention to cap a super-strong franc has been a critical monetary tool used over the past decade and may need to be tapped again now that Swiss inflation has returned negative just as the SNB's key interest rate is set to return to zero in June. Elsewhere, China's yuan slipped against the dollar while falling to a near two-year low versus its major trading partners on Friday as the Trump-Xi call fell short of many expectations. Stock markets overseas were mixed on Friday as Wall Street remained on edge and the U.S. jobs report loomed. In the euro zone, first-quarter GDP was revised higher to show twice the growth originally estimated: 0.6% quarter-on-quarter, leading to an annual rate of 1.5%. India's central bank cut key rates by a larger-than-expected 50 basis points to 5.5%, its steepest cut in five years. It also slashed its cash reserve ratio - funds that banks are required to hold - by 100 bps to 3% in a surprise move aimed at boosting lending and speeding up policy transmission. In single stocks, Tesla shares recovered around 5% in Frankfurt on Friday, having closed down 14% in New York yesterday amid the Trump-Musk spat. It lost about $150 billion in market value yesterday, which caused the erstwhile member of the 'Magnificent Seven' megacaps to drop to ninth in the list of most-valuable firms behind Broadcom and Berkshire Hathaway. Broadcom's shares, however, fell 4% in extended trading overnight as its forecast-beating earnings seemed to underwhelm the Street. In Bank of America's weekly tally of fund flows, U.S. stocks saw outflows of $7.5 billion, the third week of exits, while European shares saw inflows of $2.6 billion, the eighth week of inflows. Weekend reading suggestions * 'BLUE BONDS': European countries should seize the moment to boost the size and liquidity of jointly-issued euro sovereign debt, and a solution could be to replace a proportion of the stock of national bonds with senior Eurobonds, or 'blue bonds'. So says a 'working document' from Peterson Institute senior fellow and former IMF chief economist Olivier Blanchard in a paper jointly written with Citadel's Angel Ubide. * NUCLEAR BLIND SPOTS: United Nations nuclear watchdogs appear to have lost track of some critical elements of Iran's nuclear activities since U.S. President Donald Trump ditched a 2015 deal that imposed strict restrictions and close supervision by the International Atomic Energy Agency. Reuters Francois Murphy and John Irish report on key blind spots that include not knowing how many centrifuges Iran possesses or where the machines and their parts are produced and stored. * OCEAN ECONOMY: Trade in the global 'ocean economy' hit as much as $2.2 trillion in 2023, about 7% of total world trade, but this trade is increasingly threatened by climate change and environmental problems, the United Nations trade and development arm UNCTAD showed in a report this week. The ocean economy grew faster than the world economy at large in the five years to 2020 and an estimated 100 million jobs depend on it. * 'TRUMP DOCTRINE': The emerging foreign policy under President Donald Trump resembles a 'look the other way' doctrine or a 'none of our business' doctrine, argues former George W. Bush State Department official Richard Haass on Project Syndicate. "The U.S. sought to change the world, annoying some and inspiring others. Those days are gone, in some ways for better, but mostly for worse. The US has changed. It is coming to resemble many of the countries and governments it once criticized." * MAGNETIC FEW: A small team in China's Ministry of Commerce decides the fate of the global auto industry, one rare earth magnet export permit at a time. China holds a near-monopoly on rare earth magnets, a key component in electric vehicle motors, and it added them to an export control list in April as part of its trade war with the United States. Reuters' Laurie Chen and Lewis Jackson show how it falls to the Bureau of Industrial Security and Import and Export Control, part of China's Ministry of Commerce, to review export permits for the rare earth magnets, vital for car motors, wind turbines and even U.S. F-35 fighter jets. * FINANCE AND AI: Artificial intelligence advances in the financial sector offer enhanced data analysis, risk management and capital allocation, but there are problems too, according to a paper on CEPR's VoxEU website. As AI systems become more widespread, they introduce challenges for regulators tasked with balancing the benefits of innovation with the need for financial stability, market integrity, consumer protection and fair competition. * DRONE ATTACK: Ukraine's 'Operation Spider's Web' last weekend used smuggled drones to attack bomber aircraft deep inside Russia, and the 'remarkable event' could affect the future of conflict, argues Council on Foreign Relations fellow Michael Horowitz. The attack "clearly shows that even targets deep in a country's territory could now be at risk". * IMF EUROPE: The case for closer European economic integration has become more compelling as external challenges multiply, according to Alfred Kammer, director of the International Monetary Fund's European Department. Stressing the need for the completion of the single market, Kammer said capital markets integration has been too slow and that cross-border flows have been frustrated by persistent fragmentation. "If history is a guide, Europe can turn adversity to advantage." * ALPINE TRUSTS: Liechtenstein is examining tightening control of scores of Russian-linked trusts abandoned by their managers under pressure from Washington. Reuters' John O'Donnell and Oliver Hirt cite sources in reporting that the country, one of the world's smallest and richest, is home to thousands of low-tax trusts, hundreds with links to Russians. Chart of the day Supply chain stress ticked up in May, data from the Federal Reserve Bank of New York said on Thursday. The bank noted that its Global Supply Chain Pressure Index for May rose to 0.19 from -0.28 in April, only the second time it stood in positive territory this year and the highest reading since the 0.20 seen in August of last year. Although the index remains subdued compared to the post-pandemic surge, growing concerns about the impact of the tariff war - particularly the impact of China's restrictions on rare earth and minerals exports on the global auto industry - will ensure policymakers keep a close eye on these pressures for any signs of re-emerging inflation. Today's events to watch * U.S. May employment report (8:30 AM EDT), April consumer credit (3:00 PM EDT); Canada May employment report (8:30 AM EDT) Opinions expressed are those of the author. They do not reflect the views of Reuters News, which, under the Trust Principles, is committed to integrity, independence, and freedom from bias. (By Mike Dolan; Editing by Anna Szymanski)

Washington Post
an hour ago
- Washington Post
Inside the battles that shattered Trump and Musk's alliance
President Donald Trump was dejected, processing his very public split with the world's richest man. Rattled in the wake of Elon Musk's public attacks and apparent call for his impeachment, Trump worked the phones, debriefing close confidants and casual acquaintances alike. His former ally was 'a big-time drug addict,' Trump said at one point as he tried to make sense of Musk's behavior, according to a person with knowledge of the call, who like others interviewed for this story spoke on the condition of anonymity to discuss sensitive matters.