MORE CHARGES IN HAYWARD POT-CLUB BUST

Federal authorities have added more charges against the two people
arrested in the December raid of a Hayward medical marijuana
dispensary, claiming the storefront operation's purpose was avarice,
not altruism.

The U.S. Drug Enforcement Administration's San Francisco office
announced Wednesday that it had filed a new criminal complaint Friday
against Shon Matthew Squier, 34, and Valerie Lynn Herschel, 23, both
of Hayward.

"The Hayward Local Patients Cooperative attempts to disguise the
breadth of its criminal activity by claiming that it caters
exclusively to persons suffering from medical illnesses, when in fact
persons without any medical condition can purchase marijuana at the
retail establishment," the DEA's news release said.

Squier and Herschel were arrested Dec. 12 as agents searched the
Local Patients Cooperative on Foothill Boulevard -- which Squier
owned and Herschel managed -- as well as their homes and their cars.
They were charged at the time with conspiracy and marijuana distribution.

"As a result of the searches law enforcement seized indoor marijuana
grows, hundreds of marijuana plants, marijuana laced cookies,
brownies, popcorn, pies, candy, two inert grenades, U.S. currency and
several high value vehicles including a Mercedes, Hummer, Cadillac
Escalade, Volvo, Dodge truck, (and) Harley Davidson and Ducati
motorcycles," the DEA's release said.

Last week's new complaint charges both Squier and Herschel with one
count each of conspiracy to grow and distribute marijuana; growing
and possessing marijuana with intent to distribute; managing or
controlling a place for growing, storing and distributing marijuana.
It also accuses Squier of three counts of money laundering -- for
using illegal proceeds to buy a house and a truck -- and Herschel of
one money-laundering count, for using illegal proceeds to make a down
payment on a house.

The conspiracy and cultivation counts each are punishable by a
mandatory minimum of five years in federal prison with a maximum of
40 years, as well as a fine of up to $2 million. Managing a place for
growing is punishable by up to 20 years and $2 million, and each
money-laundering count is punishable by up to 10 years and $250,000
or twice the amount involved.

Squier and Herschel entered "not guilty" pleas Friday before U.S.
Magistrate Judge Wayne Brazil of Oakland, and are scheduled to appear
next before U.S. District Judge Martin Jenkins on Aug. 9.

"I really don't know where it's going," Herschel's lawyer, Frederick
Remer of Hayward, said Wednesday. "It's just in the preliminary
stages, we just entered a plea."

Squier's attorney didn't immediately return a call.