ORDER FAVORS GROUP SEEKING NEVADA EXPENSE REPORT FROM DRUG CZAR

CARSON CITY, Nev. - The Nevada Supreme Court has told Secretary
of State Dean Heller to explain why he didn't move against federal
drug czar John Walters for failing to file expense reports when
campaigning against a 2002 marijuana legalization initiative.

The high court's order was sought by the Marijuana Policy Project
after Heller, represented by the state attorney general, said Walters
didn't have to submit a report when he campaigned in Nevada against
the initiative.

The Supreme Court directed Heller to file a response by early June
justifying his decision to not investigate or penalize Walters.

"We're pleased, and we look forward to the issue getting the thorough
and fair review we felt all along that it deserves," Marijuana Policy
Project spokesman Bruce Mirken said Friday.

The Washington, D.C.-based group argued in court documents filed April
22 that Walters should file the reports. Walters already has
campaigned in Nevada this year against a new marijuana initiative.

The Marijuana Policy Project complained to Heller's office in 2002
about Walters' conduct during that election season, saying he traveled
to Nevada "with security detail in tow" to challenge the ballot issue.

The group had asked Heller to require Walters to file a campaign
report or be subject to a fine of up to $5,000. But a federal lawyer
for Walters argued the director of the White House Office of National
Drug Control Policy was exempt from Nevada law.

The attorney general's office followed up with an opinion that Walters
didn't have to file campaign expense and contribution reports because
he was acting within the scope of his federal duties when he opposed
the 2002 plan aimed at legalizing possession of up to 3 ounces of marijuana.

The policy project has since formed a new group called the Committee
to Regulate and Control Marijuana, which is pushing an initiative
petition to legalize possession of up to 1 ounce of marijuana by
adults in Nevada.

The latest plan would increase penalties for providing marijuana to
minors or for causing a fatal accident while driving under the
influence of the substance. Sale of marijuana would be taxed, and
revenue would be earmarked for drug and alcohol treatment and
education programs.