As Governor Glenn Youngkin once again faces a bipartisan bill that would establish a regulated cannabis distribution platform in Virginia, it is widely anticipated that he will act against the public’s interest just as he did in March 2024. In the twelve months since his last veto, the only certainty is that Mexican cartels and Chinese gangs have benefited from $3.5 billion in untaxed, unregulated cannabis sales while the proliferation of hemp-based THC products has skyrocketed. We anticipate that Youngkin will once again roll out his prohibitionist arguments but will fail to point to any tangible decrease in illegal cannabis sales the over the last 12-month— further proving that gifting Mexican cartels and Chinese drug dealers $3.5 billion and allowing the proliferation of illegal stores from Arlington to the Tennessee state line has only benefited organized crime at the expense of Virginians.

Youngkin’s argument hinges on a fundamental contradiction. He acknowledges that Virginia’s current system is “pervasive and dangerous,” yet refuses to implement the one policy proven to reduce illegal markets — regulation. Instead, he clings to outdated scare tactics, misrepresenting data from other states while ignoring the realities of his own.

Prohibitionists once used the same flawed logic to keep whiskey illegal, relying on bootleggers to supply demand while enriching organized crime. The parallels to cannabis today are undeniable. By refusing to regulate cannabis, Youngkin is ensuring that the only suppliers are Mexican cartels and Chinese gangs, just as Prohibition once empowered the Mafia. This policy failure is not just historical irony — it is a $3.5 billion mistake.

Youngkin claims that legal markets have failed, pointing to illicit sales in states like California and Colorado. But what he fails to mention is that these challenges persist precisely because those states allow local governments to ban legal sales — a policy Virginia could avoid. Illinois has shown how a properly implemented legal market can displace the illicit trade, generate billions in tax revenue, and create thousands of jobs. In 2024, Illinois’ cannabis industry surpassed $2 billion in annual sales, and Governor J.B. Pritzker has praised the program’s success.

If Youngkin were truly concerned about crime, he would recognize that his policy actively strengthens it. Right now, Virginia’s illicit cannabis market is worth an estimated $3.5 billion —all untaxed, unregulated, and flowing directly to Mexican cartels and Chinese gangs. This is not theoretical. This money funds fentanyl trafficking, firearms smuggling, human trafficking, and organized crime. Refusing to legalize and regulate cannabis is not neutral policy — it is a direct subsidy to these dangerous criminal enterprises.

The governor also invokes the well-worn but misleading argument that cannabis legalization endangers children. The reality is the opposite. Licensed dispensaries require +21 ID verification, camera monitoring, and strict safety protocols. Violent Mexican cartels and Chinese gangs require only proof of cash funds. Youngkin’s veto ensures that minors have unlimited access to unregulated, high-potency cannabis from dealers who don’t care about age restrictions or consumer safety. If he genuinely wanted to prevent youth cannabis use, he would implement the same regulations that apply to alcohol and tobacco — two substances that, unlike cannabis, actually cause tens of thousands of deaths annually.

Youngkin warns of increased DUIs and road fatalities yet again ignores reality. Impaired driving has existed for decades, regardless of cannabis laws. What a legal market allows is enforcement — tracking purchases, implementing testing policies, and using cannabis tax revenue to study patterns and make roads safer, not more dangerous. His veto doesn’t stop anyone from driving under the influence; it just ensures that law enforcement remains unequipped to regulate it effectively.

One of the most misguided arguments of prohibitionists is that cannabis consumption, particularly public smoking, is disruptive to a way of life. We agree that public consumption should be regulated, but the solution is common-sense regulation — not prohibition. Just as public drinking is restricted to designated areas, cannabis can and should be subject to similar controls. A regulated framework empowers law enforcement to clearly enforce public consumption rules, ensuring that cannabis use does not interfere with daily life. The notion that the only solution to public nuisance concerns is prohibition ignores the reality that other substances — alcohol, tobacco, and even noise ordinances — are effectively managed through law enforcement, not blanket bans.

Finally, Youngkin argues that the tax revenue from cannabis won’t outweigh its societal costs. But even if we accept his claim that states must spend money addressing cannabis-related health issues, the fact remains that Virginia is currently spending money without collecting any tax revenue in return. That is the real fiscal failure. Instead of funding law enforcement, public health, and education with cannabis taxes, he is letting all that revenue flow to nefarious cartels, gangs, and dangerous criminal enterprises.

Virginia now faces a clear choice: continue enriching Mexican cartels and Chinese gangs or take control of the market and ensure that cannabis is sold safely, legally, and responsibly. Youngkin’s expected veto is a decision to protect Mexican cartels, Chinese gangs, and organized crime syndicates over Virginia’s citizens. It is a policy rooted in ideology, not facts. And it is a policy that must be reversed.

Erich Griffin-Mauff is with the financial services company FiSai, based in Los Angeles.