Federal agents say Richard James Marino made $2.75 million from the business. US Attorney McGregor Scott says under California law, it’s illegal to profit from medical marijuana sales.

"This case is a perfect example of a person using medical marijuana as a smokescreen to his his true agenda," said Scott, "which was to line his pockets with illegal drug money." 

The 52 year old Marino ran Capitol Compassionate Care on Lincoln Street for 8 months in 2004. 

Marino was arrested this morning at his home in Fort Bragg. If convicted, the maximum penalty for each offense is 40 years.