A Seminole-owned company has formed a partnership to set up a marijuana-growing operation on Native American land.
According to the Sun Sentinel, MCW — owned by former Seminole Chairman James Billie — and Nevada-based Electrum Partners has partnered with a major marijuana investment firm.
The partnership will bring marijuana cultivation and production to Indian land.
“This business could be way bigger than bingo,” Billie told the paper.
The companies plan to open licensed medical marijuana facilities in states where it’s already legal. While marijuana is big business for non-Indian business, the Indian marijuana industry will have huge tax advantages.
“A Native American-owned business not only avoids the federal income tax, but the Internal Revenue Code… also imposes an additional burden on medical marijuana businesses,” said Leslie Bocskor, founder of Electrum Partners. “They now have effective tax rates that can approach 60 percent or more based on the application of the tax code. The Native Americans not having that as a burden gives them a tremendous competitive advantage.”
Previous attempts to bring marijuana to Native American Indian reservations have been controversial. Apparently, there was an attempt to open a resort with recreational marijuana on Sioux land in South Dakota, but drug charges were filed against non-native consultants in the case.
“You have to go to the place where the climate is already right. You don’t want to start any controversy,” Billie said. “You want to go to the place where it’s already ready to go.”
Further details about this new partnership — including their first locations — are unknown.