The federal Department of Justice has filed a forfeiture claim against a Mission District commercial building that houses a medical marijuana dispensary.
Shambhala Healing Center, at 2441 Mission Street, was one of the eight dispensaries that closed over the past 18 months after landlords received warning letters from the local United States attorney, according to the San Francisco Examiner.
The letters warned of prison terms and asset forfeiture if the dispensaries were not shut down.
Under federal law, any proceeds from the sale of illegal drugs are subject to seizure by the Justice Department. Medical marijuana is legal in California but is outlawed under federal law.
The Justice Department has made similar moves against Harborside Health Center in Oakland and Berkeley Patients Group on San Pablo Avenue in Berkeley.
This is the first known forfeiture claim against a San Francisco landlord who rented to a marijuana club, the newspaper reported.
The claim against Shambhala's landlord says that a city park is too close to the dispensary. The dispensary obeyed all local and state law, including zoning rules, according to officials.