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>> yes. >> matt davies was federally indicted for growing the very marijuana that he sold in his two california dispensaries. unlike steve deangelo at harborside health, matt is facing a criminal prosecution as a result. now matt, an mba with a wife and two young children, is facing up to 40 years in federal prison. >> the case of matt davies more than any other case in this country demonstrates the conflict between state law and federal law with regards to medical marijuana. matt davies is facing federal charges for manufacture of marijuana, even though the people of california voted overwhel...

Release, the department of justice actually increased the raids. in 2011, as the crackdowns continued, the justice department released a subsequent memo saying that the marijuana medical patients would be free from prosecution, but not industrial growers. by april 2012, the number of dispensaries raided grew to nearly 200 and resulting in over 60 federal indictments which is more raids in the first four years of the obama administration than the eight years of the bush administration. >> harborside was a model that we looked to and were happy with. we thought that steve was a pioneer in the in...

Harborside, are the first medical cannabis dispensary that has really stood up to the federal government. they've done this to other dispensaries, but they have all quietly closed down. >> why do more people not fight back? >> they're scared and it's very expensive. the odds are overwhelming. it's very few people that are willing to stand up to the united states of america. and that's what he's doing. he's willing to make a sacrifice for what he believes in. i mean, this is the united states of america versus harborside. >> the day steve deangelo has been waiting for is finally here. chief fed...

We thought how can we do it better than steve? we can vertically integrate to lower the price of medicine so we can offer the same equivalent product that steve did at 40% less. >> there you go. >> when i plotted my worst case scenarios, the idea of federal intervention was never one of them. i was naive for trusting our government and believing what they said. >> today, i don't accept that my husband is going to prison. i'm afraid of it. but i don't accept that it is going to happen, because i think that there has to be someone who sees the situation and realizes what a gross miscarriage of j...

Marijuana cannabis dispensary that has stood up to the medical government. they have done it to other dispensaries, but they have quietly closed down. >> why do more people not fight back? it is expensive and scary, and the odds are overwhelming and very few people are willing to stand up to the united states of america, and that is what he is willing to do. he is willing to make a sacrifice for what he believes in. this is the united states of america versus harborside. >> the day steve d'angelo has been waiting for is finally here. chief federal justice maria elena james is hearing their m...