Hill died by suicide at age 54 in August 2020. They put state and local prosecutors through their paces. Family lawyers (who handle marriage break ups and custody decisions) often do heartbreaking and essential work too. The county approved amoratorium in September 2016 on growing cannabis in unincorporated areas, and Dayspring wanted the county to avoid enforcing that moratorium for existing growers. SLO economy hampered by slow growth, economist says, Houweling sued over workers comp claims from Camarillo greenhouse, Santa Barbara cannabis company makes $23.5M acquisition. The result? Helios "Bobby" Dayspring, 35, who owns marijuana farms and dispensaries up and down the Central Coast, will plead guilty to one count each of federal programs bribery and filing a false tax . Grover Beach City Manager Matthew Bronson said the city needs more information and to do an internal review of the matter before it can be in a position to comment on the situation. Copyright 2023 Santa Barbara Independent, Inc. Reproduction of material from any Independent.com pages without written permission is strictly prohibited. A satellite camp.Sounds cozy.He can easily run the show from there. Well see what we can do. Nick Andre, Tara Graves, and.Mark Cardona are the other three people listed as directors of the MOM INC Delaware Corporation, all obviously designed to hide Helios Daysprings controlling ownership interest after the shit hit the fan.The City of SLO needs to admit they overlooked the fraud committed by these liars and cancel their permits. He was slated to open a San Luis Obispo location as well as a Turlock location sometime this year, butpermit issues delayed the local project. In September 2017, after those permit applications had been submitted Dayspring and one of his business partners had dinner with Shoals at a restaurant in Arroyo Grande. After all, he worked hard to be eligible for a $3.4 million dollar fine? Officials with the Department of Justice say Helios Raphael Dayspring, 35, has agreed to plead guilty to both felony charges, pay $3.4 million in restitution to the IRS, and cooperate in an . Los Angeles, California 90012. Helios Dayspring, who also goes by Bobby, agreed to a plea deal that was filed July 28 in federal court in Los Angeles and is likely to land him in prison for around 33 months. Matthew Ormseth is a reporter for the Los Angeles Times. Have a question about Government Services? The United States Department of Justice, or DOJ, sentenced Helios Raphael Dayspring, a.k.a. Dayspring was also ordered to pay almost $3.5 million in back taxes to the IRS from years of unreported cannabis business income. However, he eventually sought specialized care at a residential health program in July 2020 before his death the following month. Helios "Bobby" Dayspring, 35, agreed to plead guilty to one count of bribery and one count of filing a false tax return for failing to report millions of dollars in income to the Internal Revenue . Dayspring did so, the U.S. DOJ alleges, for favorable votes on cannabis legislation, advocacy to other public officials and the disclosure of non-public county information regarding cannabis-related issues for the benefit of Daysprings businesses. Yep. Bobby Dayspring, 35, was charged in federal court with one count of bribery and one count of subscribing to a false 2018 income tax return that deliberately failed to report millions of dollars in income to the IRS. Shoals did not respond to the offer, the plea agreement states. The bribes to Hill allegedly began in fall 2016 and continued through November 2019. A smart federal prosecutor will bring in an IRS special agent to join a public corruption investigation and investigate the tax angle. On April 6, 2019, Hill texted Dayspring and one of his employees, your industry should give me one giant French kiss wrapped in money after my work today., In another text, Hill asked, Wheres the industry support for my reelection? The duty to pay taxes is irrespective of the legality of the business. Dayspring sought two permits. Helios Raphael Dayspring, a.k.a. In the following months, multiple sources in county government told the Business Times that FBI agents had interviewed them and asked about Hill, and about the countys cannabis permitting process. At one point, Hill texted Dayspring that he had to keep these fs (other county supervisors) from going way beyond and it is exhausting! In May 2020, the FBI questioned county supervisors John Peschong, Debbie Arnold, Bruce Gibson and Lynn Compton regarding government corruption. Official websites use .gov The first of his dispensaries opened in Grover Beach in 2018, followed by another in Lemoore in 2020, anda third in Morro Bayin April. Dayspring said it was for two, meaning two dispensary permits. The U.S. Attorney's Office in Los Angeles announced bribery and tax evasion charges against Natural Healing Center co-founder and owner Helios Dayspring just days after a Santa Barbara County Superior Court judge denied the cannabis company's petition against the county for the score NHC received . Sign Up for the A.M. Report Dayspring was sentenced last week after pleading guilty in October 2021 to a two-count federal complaint. According to the plea agreement filed in U.S. District Court Wednesday, Dayspring operated and had a controlling interest in multiple cannabis farms and dispensaries that required approval from SLO County and the city of Grover Beach. Click here to read more stories from The San Luis Obispo Tribune. Daysprings tax practices should serve as a lesson to those in the cannabis business. Helios Raphael Dayspring, a.k.a. Its not far-fetched to believe that the feds are watching what is happening at a towns city council, board of supervisors, or zoning commission. County and Grover Beach officials on Wednesday reacted to the charges and bribery allegations, although some declined to comment on the situation. Helios Raphael Dayspring, founder and former CEO of the Natural Healing Center, has agreed to plead guilty to several felony charges, pay $3.4 million in restitution to the IRS, and cooperate with an ongoing investigation. You may occasionally receive promotional content from the Los Angeles Times. Dayspring also agreed to pay his back taxes along with penalties and interest. On the way to the restaurant, the business partner told Dayspring that Shoals wanted a bribe in exchange for the permits. Daysprings supporters friends, family members, employees, business partners submitted many testimonials on his behalf, painting him as kind, courageous, and generous when it comes to animals and the less fortunate. October 23, 2021. By KAREN VELIE. A .gov website belongs to an official government organization in the United States. Resist the temptation to engage in such conduct. Once he pleads guilty to the bribery and tax charges, Dayspring will face a statutory maximum penalty of 13 years in federal prison. Share sensitive information only on official, secure websites. Not all lawyers have the skill set to do so. SLO Cannabis Grower Bribed Late County Supervisor Adam Hill, Federal Prosecutors Say, Click to share on Twitter (Opens in new window), Click to share on Facebook (Opens in new window), Click to email a link to a friend (Opens in new window), Helios Dayspring, owner of the Natural Healing Center cannabis dispensary in Grover Beach, has agreed to plead guilty to a charge of bribing late SLO County supervisor Adam Hill for favorable votes on his projects. He took another $5,000 in cash as well as cannabis products in early 2018. Public Information Officer Helios Dayspring, a cannabis entrepreneur, was sentenced Friday to 22 months in prison for bribing a public official and filing a false tax return. Dayspring should have talked to the professor first. Rybarczyk implored the court to punish Dayspring for trying to fix the game so no other operator could fairly compete. Dayspring admitted to paying bribes to then-San Luis Obispo County Supervisor Adam Hill for favorable votes on his cannabis business interests and for deliberately failing to report millions of dollars in income to the IRS. And with the hope that such a payment to the IRS would increase the chances of a lower sentence than the statutory max of 13 years, Daysprings current lawyers advised him to pay in full, which he did before his sentencing. Invariably, a federal corruption or fraud case will involve money that was not reported to the IRS. Through 2018, Dayspring said he gave Hill $5,000 in cash and various cannabis-related products, his agreement says. Sheriff Jon Lopey was startled when the mysterious stranger offered him $1 million if he would keep deputies away from certain illegal cannabis farms in Siskiyou County. Megans Organic Market and SLOCAL Roots are his criminal front organizations actively laundering his money and carrying the business forward. Secure .gov websites use HTTPS Use this page here to login for your Independent subscription. Sign Up Now Has the lawyer assisted and prepared five separate and unrelated cannabis licensing applications? The operator must ask specific and pointed questions of any lawyer under consideration, even one hired for an initial (one-shot) consultation. Matthew Ormseth. The SG100K has been officially launched by Singapore's Minister for Health Ong Ye Kung on Friday, 16 December 2022. Many of the Big Law, former federal prosecutors or specialty firm lawyers who advise single state operators, MSOs, and brands in the cannabis industry, are loath to ever refer to themselves as cannabis lawyers. In fact, they tend to chafe at the moniker and affirmatively tell prospective clients, I am not a cannabis lawyer. The lawyer-experts go on to explain that they have expertise in the wide array of laws, regulations and practices affecting the industry and things from their perspectives self-proclaimed cannabis lawyers do not., Brad Sodowick, a professor at Drexel Universitys LeBow School of Business who teaches a course called Cannabis as an Emerging Business has advice for all cannabis operators on this point: Get a former federal prosecutor and/or someone at a big firm or who worked at Big Law and not a solo-shop criminal defense attorney who represents marijuana dealers. At some point during the meal, Shoals left the table to use the restroom, and while he was gone, the plea agreement states, the business partner told Dayspring this was their chance to offer Mayor 1 a bribe.. So, whats the main takeaway for licensed cannabis business operators? Noozhawk is a founding member of theLocal Independent Online News (LION) Publishers. After that exchange, two days later, the county supervisor texted Dayspring that the official had been successful. In addition to bribing the San Luis Obispo County supervisor, Dayspring admitted in his plea agreement that he and his business associate attempted to bribe the then-mayor of Grover Beach in exchange for two dispensary licenses in that city. If you believe an Independent.com user or any material appearing on Independent.com is copyrighted material used without proper permission, please click here. Hill voted for both. Dayspring allegedly paid the late District 3 supervisor $32,000 in cash and money orders in exchange for beneficial votes on issues related to his farms, including those in favor of legislation that allowed cannabis grows to operate before receiving final permit approvals, the release said. A lock ( These many customers vote their will too and one can only imagine what their will is? They were investigating corruption, not cannabis. The nature of the warrants was unknown at the time, as they were under seal. He also had ownership interests in businesses that sold marijuana to the public, including in Grover Beach. As state legalization regimes proliferate across the political spectrum and as states institute licensing regimes that give the power to say yes or no to cities, towns, and counties (big and small), political corruption opportunities will expand. What nailed the coffin shut for Dayspring, in addition to the financial record analysis, was his overuse of the text message function on his iPhone. Business partner 1 told defendant that this meeting was their chance to bribe (Shoals).. A San Luis Obispo County cannabis grower and dispensary owner bribed the late County Supervisor Adam Hill and attempted to bribe the mayor of Grover Beach, and will plead guilty to federal bribery and tax crimes. It does not matter whether the product being grown or sold is illegal in any regard. Prosecutors charged Helios Raphael Dayspring, 35, of San Luis Obispo with one count of bribery and one count of subscribing to a false 2018 income tax return, when he allegedly deliberately failed . "Bobby Dayspring," 36, to federal prison for bribing a San Luis Obispo County Supervisor and filing . In another message, Dayspring wrote that he had invested in several properties but warned that if he was not deemed complete and didnt receive conditional-use permits, I dont get my ownership in the land., According to the plea agreement, Hill replied: Got it. Helios Raphael Dayspring, who goes by the name "Bobby Dayspring," was charged in federal court with one count of bribery and one count of subscribing to a false 2018 income tax return that . Prosecutors often call tax charges, the easy low-hanging fruit because once a targets expenditures are compared with the income reported, if the disparity is extreme the feds are likely have an easy-to-prove tax prosecution. The corruption continues with the City of SLO ignoring the fact that Helios Dayspring owns a controlling interest in Megans Organic Market and SLOCAL Roots, both of which are front organizations for money laundering and California Dept of Cannabis Control license fraud. The court filing says that beginning in fall of 2016 and continuing until about November 2019, Dayspring paid a sitting county supervisor it does not mention Hill by name approximately $29,000 in unreported cash payments. (David Middlecamp / San Luis Obispo Tribune photo), Helios Dayspring opened his first SLO County Natural Healing Center cannabis dispensary in Grover Beach in 2019. The defendants own words made clear that the money, meals, and gifts of cannabis were in exchange for political action to benefit Dayspring. While all the offenses for which he was sentenced occurred in S.L.O. Los Angeles, California 90012. The document is a sordid account of how a wheeler and dealer in the states nascent, ill-regulated marijuana industry corrupted one of San Luis Obispo Countys most powerful politicians, who was apparently brazen enough to write in a text message to his illicit benefactor that he deserved one giant French kiss wrapped in money after fighting off a proposal to ban outdoor cannabis grows. It passed, 3 to 2, with Hill voting in favor, according to the agreement. The attempted $100,000 bribe took place during a dinner meeting in September 2017. . The FBI is still investigating the matter as part of what it calls an ongoing public corruption investigation in San Luis Obispo County.. Everyone else is at home working on their computer doing whatever, selectively answering their messages or in bed asleep until their secret phone rings? Shoals never responded to the offer, and Dayspring didnt pay the bribe, the release said. Hell emerge interesting choice of words, very rich like a camel going through the eye of a needle. (also known as Big Law) or have you worked at Big Law and are now in a specialty or boutique firm that advises big business on such things as tax, land use, employment, mergers and acquisitions (M&A)? Mercy on you, we hope. Its a sad day for everybody., Arnold said, this news brings closure to a long investigation.. Whoops! But as he acquired hundreds of acres of land to grow . Their law firms also have the personnel resources (to include support staff) to excel in the morass of licensing and regulatory hurdles. Two years after Helios Dayspring was caught breaking county zoning and state water quality laws he was illegally expanding a cannabis operation on private land in Los Padres National Forest and polluting the creeks county officials are taking steps that could lead to the shutdown of his last remaining "grow . California marijuana mogul Helios Dayspring - who pleaded guilty last year to charges of bribery and tax evasion - reached a settlement with a former business partner in a civil legal dispute involving multiple cannabis companies. Federal prosecutors downplayed the value of Daysprings work as an informant, saying it had led to no new investigations or arrests. In another over-the-top text exchange, the county official texted that his birthday was around the corner and what was Dayspring going to do for him. From 2016 to 2019, Dayspring paid S.L.O. Authorities ruled Hills death a suicide. During the same period, Dayspring also gave Hill cannabis products free-of-charge and paid for multiple meals for Hill, according to the filing. Extension of timeframe seems reasonable and probably no one else in until everyone has been deemed complete., Dayspring responded that Hill was the man., On Dec. 12, 2018, Hill told Dayspring by text that the board approved the extension, to which Dayspring replied, Thank God . They exchanged numerous text messages about their arrangement, sometimes during board meetings, Daysprings plea agreement states. This means that even little bits (think ounces not kilos) of product and a few restaurant meals with wine spread out over years can amount to federal bribery. He also cited his work as an informant and his willingness to wear a wire, noting that hed been the recipient of at least one death threat. The quid pro quo was clear, according to Daysprings plea agreement. California's coastal "King of Cannabis," Helios Dayspring, owner of a San Luis Obispo cannabis cultivation site, supplier to many licensed California dispensaries, and founder of Central California's Natural Healing Center dispensary, was sentenced to a 22-month prison sentence, in a downtown Los Angeles federal courtroom May 27. Tight on Time: Can Canadas Licensed Producers Hang On? Have you ever worked as a federal prosecutor? Hill died after taking a leave from the board to seek mental health treatment. Thom Mrozek The filing adds that Dayspring and Hill held a political fundraiser at Hills home where $13,000 was raised in June 2019. When you think about who has to scramble, Helios might be the hardest worker and will need this deserved rest. . Three weeks later, Dayspring and his business associates addressed the Board of Supervisors during the public comment period, urging the county to again extend the abeyance. Have you assisted five or more individuals or entities (in separate and unrelated matters) with preparing and submitting to government authorities five separate and unrelated local licensing or zoning or land use (conditional use) permits? In early 2019, Hill accepted another $5,000 in cash outside an Avila Beach restaurant, the filing says; the supervisor took another $5,000 in cash following a dinner in Pismo Beach that November. In October 2021, Dayspring pleaded guilty to one count of bribery and one count of subscribing to a false income tax return. According to court records, Dayspring also confessed to trying to bribe John Shoals, then mayor of Grover Beach, for his support in helping Dayspring secure two dispensary licenses. 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