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

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.

Hemp or High-Potency Synthetic Cannabis?

A comprehensive investigation conducted by Groundwork Holdings, Infinite Chemical Analysis Labs, the United Food and Commercial Workers Western States Council, and a private investigator found that 95 percent of tested “hemp” products contained synthetic cannabinoids despite their prohibition under California law. These compounds, which can be up to 30 times more potent than natural THC, are often found in gummies and vape products marketed as “hemp.”

Alarmingly, over half of the tested products exceeded the federal 0.3 percent THC limit, meaning they should be classified as cannabis rather than hemp under federal law. When measured against California’s stricter “Total THC” definition, 88 percent failed to meet state hemp standards. Some so-called “hemp” gummies contained a staggering 325 milligrams of THC per serving—more than 32 times the legal limit for cannabis edibles in the state. Vape products fared no better, with average THC potency levels reaching 268 percent above California’s legal threshold for adult-use cannabis.

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.”

Industry Voices and Regulatory Concerns

“Much of what’s being sold as hemp today isn’t hemp at all – it’s a cocktail of synthetic intoxicants and illicit THC masquerading as a natural, legal product,” said Tiffany Devitt, director of regulatory affairs at Groundwork Holdings, which partnered with other license holders to organize and run the study.

Groundwork is the parent company of Northern California cannabis manufacturer CannaCraft and Southern California retail chain March and Ash. The study was also supported by Sacramento-based cannabis retailer Embarc and United Food and Commercial Workers Local 135, which represents more than 13,000 unionized employees in San Diego and Imperial counties.

Products were tested by San Diego-based Infinite Chemical Analysis Labs, whose founder, Josh Swider, has gained industry-wide recognition for his work to promote testing integrity in the regulated cannabis market.

The study’s findings have alarmed industry leaders and regulatory advocates. Michael Bronstein, president of the American Trade Association for Cannabis and Hemp, told mjbizdaily.com, “We are troubled, but not surprised, by the widespread presence of synthetic THC in so-called ‘hemp’ products showing up in this report, and it is unfortunately consistent with similar studies in other parts of the United States.” He urged Congress to take action to address the issue while encouraging states like California to continue protecting consumers and minors.

California Governor Gavin Newsom responded in September by issuing emergency regulations banning intoxicating hemp products in the state and keeping THC in the regulated cannabis market.

However, the study organizers noted that they were able to “easily purchase hundreds of hemp products online” without age verification, highlighting a major enforcement gap.

The report specifically called out national brands Los Angeles-based Cann and St. Ides, a subsidiary of San Antonio-headquartered Pabst Brewing Co., for allegedly selling THC-infused beverages illegally in California.

When asked for comment by MJBizDaily, a spokesperson for Cann denied the allegations in the report: “We do not agree with the report’s claim that our products are illegally sold online in violation of state law.” Pabst did not respond to MJBizDaily’s request for comment.

Scope of the Study

The investigation analyzed 104 consumer hemp products from 68 different brands, focusing on two of the most widely available product categories: vapes and gummies. These products were selected due to their widespread availability and high consumer demand.

Researchers applied rigorous testing methods to determine the presence and potency of synthetic cannabinoids. The study specifically evaluated products for chemically manufactured delta-8 THC, delta-9 THC, THCO Acetate, THCP, HCC, and HHC-O Acetate.

The study used relative binding affinity to CB1 receptors to accurately measure potency, comparing synthetic cannabinoid effects against naturally occurring delta-9 THC.

This methodology ensured a comprehensive assessment of product safety and adherence to legal definitions of hemp under both state and federal law.

A Call for Reform

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.

by Independent Voter News

Cannabis Technology News

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

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