Authorities have charged eight individuals in connection with an alleged criminal operation that laundered over $4 million through a network of 18 marijuana dispensaries in Houston.
The defendants are alleged to be the primary owners, investors, and managers of the chain known as “THC Club.” Although marketed as a legal cannabis business, authorities claim that the enterprise was actually selling illegal marijuana products under the guise of complying with Texas law.
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The defendants face charges of engaging in organized criminal activity, money laundering, and possession of marijuana. The alleged ringleader, Rashan Dorsett, is accused of having ties to multiple bank accounts used to funnel proceeds. Brothers Kyle and Krish Arora are believed to hold significant ownership stakes in the THC Club locations. Jonathan Kennerson, a manager for the South Houston sites, served as the primary account holder for utility services, while Danny Martinez managed the North Houston location and actively promoted the business. Shadeed Bonds, a co-owner of several THC Club locations, allegedly controlled various related financial accounts. Chris Biscette managed four Houston-area stores, including the Hobby and Westheimer locations, and Keon Dunbar oversaw multiple Houston sites and was observed transporting products between locations. Jalen Gunter managed several key sites, such as those in Cypress, Katy, and Bellaire.
The alleged scheme, which spanned from June 2020 to September 2024, funneled funds through at least 57 bank accounts, according to court documents. The THC Club locations, each operating under various business names, were strategically set up throughout Houston, including prominent spots like the Galleria, Heights, Westchase, and Energy Corridor.
During the investigation, authorities conducted undercover purchases and surveillance, eventually leading to search and seizure warrants executed at all THC Club storefronts on Sept. 25. Officers confiscated a total of 20.69 pounds of suspected marijuana from the locations.
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“This organization went to great lengths to present itself as a legitimate business while engaging in criminal activities,” the affidavit stated. “The defendants systematically acquired and laundered illegal proceeds, furthering a complex scheme to evade law enforcement and deceive the public.”
The investigation revealed that THC Club advertised itself as Houston’s “#1 Recreational Cannabis Shop” and claimed to operate legally without requiring a medical card. However, surveillance and undercover purchases revealed that the stores were selling products exceeding the legal THC limits in Texas, including flower, pre-rolls, edibles, vape cartridges, concentrates, and more.
The Harris County District Attorney’s Office outlined in the complaint that the individuals named in the case engaged in a “single scheme and continuing course of conduct” to generate illegal profits. The money was then allegedly funneled through various businesses and personal bank accounts associated with the defendants.