
Milpitas police swept into two local smoke shops yesterday, serving search warrants at Puff City and Red Dragon and hauling out what officers described as a large quantity of allegedly unlicensed cannabis products. Roughly $12,000 in cash was also seized. Two adults walked away with criminal citations tied to drug and health-and-safety violations, and police say they have asked the district attorney to review potential criminal complaints against the shops' owners. Both searches took place at storefronts in Milpitas.
According to the Milpitas Police Department, officers served search warrants at Puff City at 1225 Jacklin Road and Red Dragon at 1730 N. Milpitas Blvd. Inside, officers reported seizing a wide range of products, including CBD and THC items, e-cigarettes and vapes, flavored tobacco, kratom, psychedelics, approximately two pounds of loose marijuana and about $12,000 in cash. Two adults were issued criminal citations for drug and health-and-safety violations, and police say they have asked the district attorney's office to file a criminal complaint against the business owners.
State Tax Teams Join Local Crackdown
Milpitas police said the operation was not a solo act. City code enforcement, building inspectors and planning staff were on scene, working alongside state tax investigators. As outlined by the California Department of Tax and Fee Administration, CDTFA inspectors can enter locations where cannabis is sold or stored and may seize products if they suspect problems with licensing or tax reporting.
Licenses, Fines And Product Embargoes
The state Department of Cannabis Control notes that every form of commercial cannabis activity in California requires a state license. Regulators can hit violators with fines, order abatement, embargo products or suspend licenses in cases involving unlicensed operations. Those tools are often paired with local enforcement and tax inspections when authorities believe a cannabis-related business is operating outside the state's licensing system.
How Milpitas Residents Can Share Tips
Milpitas police are asking anyone with information tied to this case or similar activity to reach out. Tips can be submitted anonymously through the department's online Crime Tip form or by calling the Crime Tip Hotline at (408) 586-2500. The city hosts the anonymous tip form on its website for incidents within Milpitas; details are available on the Milpitas Police crime tip page.
Puff City’s Past Permit Battle At City Hall
Puff City has already had a turn under the local spotlight. The shop became the focus of a permitting fight when the Milpitas City Council ultimately approved a conditional use permit after the planning commission earlier raised concerns about the store's proximity to schools and its product mix, according to The Milpitas Beat. Puff City lists 1225 Jacklin Road as its address and promotes vape, CBD and tobacco products on its website.









