$25,000 IS JUST A START

At first glance, the sentence imposed on a Courtenay marijuana grow
operator this week seems tough enough. Patrick Joseph Hamilton has
been ordered to pay $25,000 after being convicted of cultivating a
narcotic.

It would be wonderful to think that the justice system is taking
stronger action against the people who produce and sell drugs. But
from a business point of view, the sentence is not that tough.

Yes, Hamilton will have to pay $25,000, his penalty for being caught
with 179 marijuana plants in the back of his pickup when he was
stopped by police in July 2004.

Police estimate that a single marijuana plant is worth about $1,000,
which would mean Hamilton's truckload was worth $179,000. Even if we
take a conservative approach, and cut the police figure in half, that
load was still worth three times the amount of the fine.

Marijuana cultivators don't face the costs that legal entrepreneurs
face. They don't have to pay taxes, for example, and their overhead is
usually low, so their profits are high.

In other words, this industry carries the potential for big returns
with relatively low risk. A $25,000 fine, as high as it is, cannot be
considered a strong deterrent. It's more like a business licence.

The cultivation and sale of illegal drugs is skewing the Island's
economy and putting at a disadvantage those people who choose to stay
on the right side of the law. The $25,000 fine is a step in the right
direction -- but let's not assume it will convince any drug cultivator
to quit the business.