HEMP DOWNER: DEA SEIZURE OF STERILE HEMP SEEDS ILLEGAL, LOCALS SAY

The seizure of 39,000 pounds of sterilized Canadian hemp seed at the
Detroit International Airport eight weeks ago has several severely
bummed-out Colorado companies jonesing for an explanation.

The sterilized seed, which was produced by Kenex, Inc. of Ontario, Canada,
was seized in Detroit on Aug. 9 by U.S. Customs agents acting on orders
from the U.S. Drug Enforcement Agency. According to the DEA, the seed was
found to contain minute amounts of THC, which is classified as an illegal
drug under the federal Controlled Substances Act.

The DEA, beyond simply confiscating the 39,000 pounds of seed still sitting
in Detroit, promptly ordered Kenex to recall all of the hemp products that
it has shipped to some 17 different companies throughout the United States.
Moreover, the U.S. Justice Dept. has ordered these 17 companies to turn
over all of their records pertaining to their dealings with Kenex and some
of the companies have been served with summons to explain their
"marihuana-related products."

Although no portion of the confiscated Kenex seed had been purchased by any
Colorado-based company, the seizure and its aftermath have intimidated and
angered local businesses that utilize hemp products.

"What the DEA did with the Canadian seed is completely illegal," said
Kathleen Chippi, co-owner of the Boulder Hemp Company. "We weren't using
any of the Kenex seed, so we haven't been subpoenaed or had anything
confiscated yet, but our concern is that the DEA is accountable to no one."

Chippi, whose company markets hemp tortilla chips and a host of other
foods, noted that sterilized hemp products have always been completely
legal in the U.S. in the past.

"Sterilized hemp seeds, stalks, and any products made with derivatives of
sterilized seeds have always been legal -- no matter how much THC they
contain," Chippi said.

Chippi and other local hemp products merchants base that conclusion largely
on a 1991 affidavit, in which DEA agent Charles Metcalf testified about the
use of sterilized marijuana seeds as birdfeed.

"Sterile marijuana seeds are specifically excluded from the definition of
'marijuana,' and are not a controlled substance under federal statute,"
Metcalf stated in his affidavit. "The DEA, and my office in particular, is
aware that sterile marijuana seed ... is likely to contain residue ....
which will test positive for THC, the active ingredient of marijuana."

By that standard, Chippi said, the recent seizure in Detroit is completely
illegal.

"The DEA is all of a sudden saying that they've changed the law, and
there's a 'zero tolerance' for THC in sterilized hemp products," Chippi
said. "They're just making up the rules as they go along, and everyone is
on edge, because we don't know what they're going to do next."

According to Chippi, the Kenex seed confiscated in Detroit tested positive
for THC in the amount of .00148 parts per million -- a level far too low to
give human consumers of hemp tortilla chips any kind of a buzz.

DEA spokeswoman Rogene Waite said that didn't matter.

"Basically, the issue is whether there is THC or not," Waite said. "If
there is, then it's a schedule I drug -- it's illegal."

Waite wouldn't comment on the subject of Metcalf's affidavit, which would
seem to support Chippi's position. Instead, the DEA sent the Colorado Daily
a prepared statement on the subject.

"Recently, DEA and other federal agencies have become aware that sterilized
cannabis seed has been imported into the United States for use in food
products for human consumption," the statement declares. "Under federal
law, THC is a schedule I controlled substance. Therefore, any product
containing any amount of THC can only be imported into the United States by
a company that is appropriately registered with DEA."

According to Waite, companies that voluntarily register with the DEA
"might" be able to utilize hemp products containing measurable levels of THC.

"If there is any THC, then a company wishing to import something would need
to register with DEA, and they would start by contacting their local DEA
office," Waite said. "I can't speculate on whether a company would meet the
registration requirements or not."

Asked to elaborate on just what, exactly, the "registration" procedure
would entail, Waite said, "There would be requirements for information
providing, bonafide use of the company or group, and security
requirements," she said. "Companies interested in that you can call their
local DEA office."

Chippi was quick to question that explanation.

"Register? Is that their new policy?" Chippi asked incredulously. "No one
has ever been required to register anything with the DEA before, and
they've never provided anyone with any paperwork to do so.

"Our company abides by the federal Controlled Substances act, and it
doesn't say anything about registering," Chippi added. "We're not going to
register, and we'd like to hear more about who rewrote the law."

Blair Wilson of the Nederland-based High Country Hemp Company said the
Detroit seizure and the newly implemented "registration" process are both
indicative of the DEA's true agenda.

"The public knows that kids aren't getting high off of smoking hemp hats or
hemp seeds," Wilson said. "It's time to expose the real motivations of the
DEA -- this is the DEA's last-ditch attempt to kill the developing hemp
industry."

Representatives from Kennex, Inc. could be not be reached by press time
Wednesday.

PHOTO CAPTION: Kathleen Chippi is vice president and co-owner of Heavenly
Hemp, which manufactures tortilla chips that include ground hemp seeds in
the flour. Chippi believes the recent DEA confiscation of 39,000 pounds of
sterile hemp seeds is an illegal attack on the fledgling hemp industry.