OBN, AG Credit Collaboration After Multi-County Grand Jury Indicts 3 For Illegal Marijuana Operation

An Oklahoma Multi-County Grand Jury indicted three people accused in a "straw ownership" scheme. That's when a person buys something on behalf of another person to conceal the real buyer. 

Over the past year, Oklahoma Bureau of Narcotics agents said many efforts have been made to change laws to help law enforcement investigate these cases.

This includes a new task force that helped investigators identify the suspects indicted in this case. 

Newly unsealed court documents reveal the Oklahoma Multi-County Grand Jury indicted Kody Sumter, 34, who allegedly recruited Oklahoma residents to serve as “straw owners” on licenses.

The Grand Jury also indicted Michael Dudek, 35, and Dengfeng Huang, 44, for allegedly providing fraudulent documentation to get a marijuana license. 

Sumter was charged with conspiracy to defraud the State and aggravated manufacturing of a controlled dangerous substance. Huang was charged with conspiracy to defraud the State, aggravated manufacturing of a controlled dangerous substance, and trafficking of a controlled dangerous substance over 25 pounds. 

Dudek was charged with conspiracy to defraud the State and aggravated manufacturing of a controlled dangerous substance.

Last year, Attorney General Gentner Drummond’s office launched the Organized Crime Task Force to ease the burden on investigators. 

“These cases illustrate how unscrupulous individuals have exploited Oklahoma’s medical marijuana industry for nefarious and illegal criminal activity,” Drummond said in a statement. “While many individuals are lawfully abiding by the regulations governing medical marijuana, law enforcement is tirelessly cracking down on the bad actors who are feeding the nation’s illegal marijuana market. These ‘straw ownership’ schemes made a mockery of our laws, and they will not be tolerated.” 

Last spring, News 9 reported on how “straw ownerships” can lead to environmental contamination and safety hazards after an illegal operation in Logan County experienced an explosion in one of its buildings.

Lawmakers have added regulations to help investigators reach the root of the state’s illegal marijuana problem. 

“This is another example of our commitment to aggressively combat these criminal organizations seeking to get a foothold in Oklahoma,” said OBN Director Donnie Anderson. “Working alongside our partners at the Attorney General’s Office and the Oklahoma Medical Marijuana Authority, we continue to dramatically reduce the number of illegal marijuana businesses that have been operating with fraudulent ‘straw ownership’ schemes and moving product to the illicit market out of state.”