Amid ongoing efforts to curb the unregulated commercial trade of cannabis in the nation’s capital, District regulators issued an immediate cease-and-desist order to a vendor alleged to be selling illegal cannabis products during one of the city’s largest annual street fairs.
The Alcoholic Beverage and Cannabis (ABC) Board voted unanimously to shut down commercial cannabis operations for Kosmic Treats following an undercover sting at the H Street Festival last month.
According to board documents released this month, supervisory investigators from the Alcoholic Beverage and Cannabis Administration (ABCA) observed a Kosmic Treats festival tent displaying cannabis items on Sept. 19, 2026. Investigators subsequently launched an undercover operation in coordination with other local agencies.
An undercover agent purchased a cannabis pre-roll and cannabis-infused gummies from an employee, who informed the agent that the vendor stocked various additional THC products. A follow-up inspection by investigators revealed an array of unlicensed, THC-bearing items inside the tent.
In the board’s order, officials noted that Kosmic Treats holds no license, permit, or legal authorization to conduct commercial cannabis operations in the District. Regulators emphasized that unregulated products pose a heightened public safety risk, as they bypass mandatory testing, labeling, and packaging standards designed to screen for harmful contaminants like pesticides or unlisted narcotics.
Under District law, unlicensed cannabis operations are designated a public nuisance. The ABC Board determined that the open sale of untested cannabis at a crowded public festival created an immediate threat of “irreparable harm” to the community, justifying an emergency administrative shutdown prior to a formal hearing.
The order requires Kosmic Treats to halt all commercial transactions involving cannabis immediately. The vendor faces potential civil fines, administrative sanctions, or referral to law enforcement for criminal prosecution if operations continue. Under D.C. code, the business owners have 15 days to request a hearing to contest the board’s finding.
