ONE JAILED IN S.J. POT CLUB RAID

Co-founder arrested: Police say Peter Baez sold marijuana to a customer who
didn't have a prescription.

For the first time since it opened last year, police raided San Jose's only
medicinal marijuana club on Monday, arresting its co-founder on an
allegation that he sold pot to a person without a prescription.

Santa Clara County Cannabis Club co-founder Peter Baez was booked into a
Santa Clara County jail on one felony count of illegally selling and
furnishing marijuana, a prosecutor said. His bail was set at $5,000.

A club official insisted Monday that Baez had done nothing wrong and that
he had a doctor's approval to sell marijuana to the customer named in the
case. But authorities said they had found no evidence of a doctor's
authorization for that patient.

The arrest was a surprising development for an operation that has generally
avoided the kind of conflict with law enforcement that other California
cannabis clubs have encountered since voters approved Proposition 215, the
1996 medical marijuana initiative.

In a separate action, the U.S. Department of Justice planned to ask a
federal judge today to shut down six other Northern California marijuana
clubs, on the grounds that the state ballot measure is superseded by a
federal prohibition on the sale of pot.

But federal authorities haven't targeted the Santa Clara County club, which
has operated with approval -- and under strict regulation -- by the
district attorney's office, police and the San Jose city attorney.

On Monday -- as officers with a search warrant went through the club's
Meridian Avenue office -- club officials said Baez had followed the law.

``We've done everything we can,'' said Jesse Garcia, club co-founder and
executive director. ``Our clients are legitimate users.''

Under Proposition 215, patients suffering from cancer, AIDS, glaucoma or a
variety of other illnesses are allowed to possess and grow marijuana for
medical use, with a doctor's recommendation.

The raid came after authorities won a conviction against a local man,
Enrique Robles, on a misdemeanor charge of possessing marijuana, according
to Deputy District Attorney Denise Raabe. She said Robles told authorities
that he had been getting marijuana from the center for medical purposes.

After investigating his claim, Raabe said, authorities concluded that
Robles had no medical prescription. They also found that Baez allegedly had
sold him marijuana nine times from Oct. 22, 1997, to Feb. 25.

No comment from Robles

Robles does have a medical condition, Raabe said, although details couldn't
be learned Monday. Robles could not be reached for comment.

While declining to name Robles, Garcia said the club had an oral OK from a
doctor to sell marijuana in the case that led to Baez's arrest. But Raabe
said authorities checked with three doctors whose names were obtained from
the center and all three denied authorizing a prescription for Robles.

The raid began just before 3 p.m. when about nine officers arrived to
execute a search warrant at the club's Meridian Avenue office, Garcia said.
Under the warrant, officers sought records, audio or video tapes that might
show the club was selling marijuana illegally.

Officers took the names of two clients and searched them before letting
them go, Garcia said.

``It scares me,'' said Darlene Lutz, a clerical employee of the club, who
was present during the search. ``They were grilling me -everything about
the business, about the client, how we in-take them and what kind of
(documentation) they have to have.''

``Our biggest concern is client-patient confidentiality,'' added Garcia.

Baez was taken away by officers. He is scheduled to be arraigned today in
Municipal Court on the felony charge that carries a maximum four-year
sentence in state prison.

The club will reopen on Wednesday, Garcia said.

``Our intent is not to close down the cannabis center,'' Raabe said.
``We're very much aware that there are people with legitimate requisite
medical recommendations that are receiving marijuana.''

Court order in June

Still, she added: ``We don't know what the investigation will turn up and
what will happen in the future.'

The club, which has 267 clients, is the only one of its type in Santa Clara
County. Last June, the city of San Jose obtained a court order to stop
another man, Robert Niswonger, from selling marijuana for medicinal use at
a location on Race Street.

Mercury News Staff Writer Howard Mintz contributed to this report.