Inside the stores at the center of the Lucas indictment

Before federal agents arrived with search warrants on May 6, 2026, The Cannabis Outlet in Portsmouth had already drawn a state fine and a public investigation into its labeling. According to a federal indictment unsealed Oct. 22, it had also been the site of a string of controlled marijuana purchases by law enforcement.

The indictment charges state Sen. Louise Lucas and six others with running a racketeering enterprise. It describes the store, along with The CBD Shoppe in Norfolk, as places where marijuana was sold. The defendants are presumed innocent.

Who owned what

According to the indictment, Lucas organized Lucas Hospitality LLC in 2009 at 1214 County St. in Portsmouth. Prosecutors say "the intended nature of this business is unknown" but that it is affiliated with The Cannabis Outlet. Lucas also used that address as her legislative office.

In 2019, Carlton Upton Jr. registered Virginia Freedom Life at 345 Granby St. in Norfolk, the same address as The CBD Shoppe, prosecutors say. The indictment describes Virginia Freedom Life as an umbrella for both shops. From June 2021 to March 2023, state corporate records listed both stores as trade names of Virginia Freedom Life. On March 21, 2023, Lucas registered The Cannabis Outlet as a trade name of Lucas Hospitality.

Lucas listed herself as president and CEO of Virginia Freedom Life on state economic-interest forms in February 2022 and February 2023, the indictment says.

Prosecutors say Lucas and her daughter Lisa Lucas-Burke opened The Cannabis Outlet in 2021. Daughter Theresa Lucas-Lamb managed it, and her son, Ryan Eichelberger, later took over.

Warnings and fines

The indictment says the Virginia Department of Agriculture and Consumer Services (VDACS) issued Lucas violation notices on Jan. 31, 2023, and July 26, 2024, for offering non-compliant cannabis products. The second notice carried a $66,500 fine. The violations included THC levels above 0.3% in certain products.

Separately, prosecutors allege that a senior law enforcement officer warned Lucas after his hiring in 2022 that "selling marijuana was illegal and was going to get her in trouble one day." The indictment does not name the officer or the agency.

A 2022 Virginia Mercury investigation found labeling discrepancies at the store. It also found that two tested products had delta-9 THC levels that made them illegal to sell under state law at the time.

The indictment states that "no state criminal prosecution has ever been initiated concerning the activity of The Cannabis Outlet."

A burglary report

The indictment says Eichelberger and Lucas-Burke reported a Sept. 26, 2024, burglary at The Cannabis Outlet to Portsmouth police. They said $450 in cash and about $3,000 worth of marijuana products were missing. Police recovered the suspected marijuana products on Oct. 23, 2024, according to the filing.

Undercover buys

The indictment lists these controlled purchases by law enforcement:

Date — Location — As alleged

Oct. 4, 2024 — The Cannabis Outlet — controlled purchase

Oct. 18, 2024 — The Cannabis Outlet — controlled purchase

Nov. 8, 2024 — The Cannabis Outlet — controlled purchase

May 5, 2025 — The CBD Shoppe — 10.2 grams, undercover agent

Oct. 23, 2025 — The Cannabis Outlet — half ounce

Oct. 31, 2025 — The Cannabis Outlet — one ounce; Eichelberger allegedly said another load of "product" was due Nov. 3

Dec. 9, 2025 — The CBD Shoppe — one ounce

Feb. 5, 2026 — The CBD Shoppe — 69.5 grams

July 10, 2026 — The Cannabis Outlet — "Sativa" and "Indica" strains; both tested positive for marijuana

At a Jan. 31, 2026, meeting, according to the indictment, an unnamed co-conspirator asked whether the store was receiving hemp. Lucas-Burke and Eichelberger allegedly answered: "[i]t's not hemp, it's THC."

May 6 searches

On May 6, 2026, federal agents executed search warrants at The Cannabis Outlet, The CBD Shoppe and Exotic World in Danville, a store owned by co-defendant Prince Albert William Hudson III. The indictment says marijuana was recovered at all three. DOJ said agents also recovered firearms at The Cannabis Outlet and The CBD Shoppe.

The Mercury reported that agents also searched Lucas' Portsmouth legislative office that day. Lucas arrived after the operation began and told a reporter she did not know what it concerned.

The premises charges

Count 5 accuses Lucas, Lucas-Burke, Lucas-Lamb and Eichelberger of maintaining a drug-involved premises at 1215 High St. in Portsmouth. The indictment does not specify which business operates there. Count 6 makes the same accusation against Upton and Tameka Johnson for 345 Granby St., Suite A, in Norfolk.

Lucas has called the federal case political intimidation, according to the Mercury.

Source note: The allegations come from the federal indictment, U.S. v. Lucas et al., No. 4:26-cr-00075 (E.D. Va.), Doc. 3, filed Oct. 14, 2026, and the DOJ press release of Oct. 22, 2026. Background on the 2022 labeling investigation and the May 6 office search is from the Virginia Mercury. Fact gaps: The indictment does not say which business occupies 1215 High St. Neither the warning officer nor his agency is named. We have not independently obtained the VDACS notices.