Experts Say Oregon’s Marijuana Glut Spilling into Black Market

Legally-grown Oregon marijuana is supplying the black market and crossing state lines. That's the conclusion of a state audit, Oregon's U.S. Attorney and Pendleton's police chief.

The Oregon liquor control agency tasked with licensing marijuana growers, processors and retailers is understaffed resulting in a lack of oversight. The auditors said they found significant "gaps" in regulation of both recreational and medical marijuana -- particularly medical businesses.

U.S. Attorney for Oregon Billy Williams believes "tons" of marijuana is crossing state lines illegally due to a glut in supply and lack of oversight.

That glut particularly riles Pendleton Police Chief Stuart Roberts who is an outspoken critic of how quickly Oregon permitted marijuana cultivation without having the infrastructure in place to regulate the industry.

The result was overproduction that drove down prices, making the black market an attractive alternative for product no one was buying legally. It's definitely happening and it was, and is, preventable, he says.