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A Salem man ran an elaborate drug trafficking organization for years that mailed thousands of pounds of marijuana-infused candy and cereals across the globe while raking in millions in cash and cryptocurrency.
Jered J. Hayward, 45, was already on probation for other federal drug trafficking charges when federal authorities searched his warehouse last September, seizing over 10,000 pounds of marijuana and psilocybin products and over $1 million in cash.
He was sentenced in Portland U.S. District Court Wednesday to 13 years in federal prison after pleading guilty to conspiring to launder money and possess marijuana with the intent to distribute.
As part of his guilty plea, Hayward agreed to forfeit more than $2 million in cash and property, including two jet skis, a pontoon boat, a dozen vehicles and trailers and cryptocurrency holdings.
Federal authorities also seized 7,400 pounds of THC vapes and edibles and 1,500 pounds of marijuana bud when searching Hayward’s warehouse at 1910 Vista Ave. S.E., according to a plea agreement.
A memorandum filed by federal prosecutors describes a sophisticated operation that employed 10 people and annually used more than 2,600 shipping labels to send products around the world.
He used websites to sell products online and went by several names, including Always Native, Bottlesandtins.com and A2Z Transport. Always Native is listed as having 7,448 sales on its Etsy website, which is currently inactive.
Hayward and his employees made $2.4 million in a year and a half solely from purchases on CashApp, his plea agreement said.
Customers could pick from a variety of infused cereals including Lucky Charms and Froot Loops, along with candies like Gushers and Jolly Ranchers.
The memorandum includes photos of the packages which resemble the traditional brightly-colored packaging, altered to reference the products’ THC content.
“While there is no evidence that the (drug trafficking organization) deliberately targeted minors, the manner in which the (organization) packaged its illegal products made it a significant danger for children,” the memorandum said.
One product, called “Medicated Rice Krispies Bar,” features the three cereal mascots Snap, Crackle and Pop with bloodshot eyes. Snap holds a marijuana cigarette.
This image from a federal memorandum shows a marijuana-infused Rice Krispies product seized by federal authorities after an investigation into Jered J. Hayward.
Hayward ran the operation from January 2020 to Sept. 17, 2024, records show. He bought the warehouse about a year after opening.
Over the four years running the operation, headquartered in southeast Salem, Hayward and his employees made millions of dollars through mailed and online payments, according to the agreement.
The operation never had legal permits or license to sell its products, the memorandum said.
It had the “traditional hallmarks of a clandestine drug organization,” prosecutors said in the filing. Those include encrypted marketing and selling practices and using straw businesses for money laundering.
He agreed to forfeit the warehouse and his home at 4705 Battle Creek Rd. S.E. to federal authorities as part of his guilty plea. Other items turned over to the federal government include a Rolex and a collection of gold bars and coins.
Federal agents began investigating Hayward in the beginning of 2021. Court records do not detail how authorities became aware of the operation.
“It should be noted that the amount seized from the execution of warrants in 2024 likely pales in comparison to amounts of THC and psilocybin mass marketed and distributed by the (drug trafficking organization) prior to 2021 and through September 2024,” the memorandum said.
Hayward has been trafficking drugs for most of his adult life, state and federal court records show. The federal statement said this is his fourth conviction of drug trafficking crimes.
In 2022, Hayward was charged with distributing large amounts of fentanyl after using a pill press to make and sell fentanyl pills, according to a memorandum by federal prosecutors. A federal judge sentenced Hayward to time served and two years of supervision.
By that time, he had already been running his mail-order Salem drug operations for two years.
Prosecutors in the Salem case recommended a 14-year sentence for Hayward, followed by five years of supervised release.
“A significant prison sentence is necessary to ensure just punishment and adequate deterrence, respect for the law, and to protect the public from further crimes committed by the defendant, given the defendant’s history and characteristics and the nature and seriousness of the offense,” the memorandum said.
Hayward’s criminal history, which includes assault and possessing a firearm as a felon, makes him a career criminal under federal law, prosecutors said.
His arrest comes as Oregon and federal authorities have increasingly struggled to fight black market marijuana growers and retailers.
Over the last seven years, the state has spent $46 million to help law enforcement crack down on black market cannabis operations, but officials can’t say if the effort’s been successful, according to reporting by InvestigateWest.
The investigation was led by the U.S. Department of Homeland Security, which partnered with various agencies, including the Portland Police Bureau, United States Postal Inspection, Oregon State Police, Internal Revenue Service, Washington County Sheriff’s Office and Salem Police Department.
Salem police assisted with a search at the end of the investigation, according to department spokeswoman Angela Hedrick.
Contact reporter Madeleine Moore: [email protected].
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Madeleine Moore came to Salem after graduating from the University of Oregon in June 2024 with a bachelor’s degree in journalism. She covers addiction and recovery, transportation and infrastructure.
“}]] A Salem man ran an elaborate drug trafficking organization for years that mailed thousands of pounds of marijuana-infused candy and cereals across the globe while raking in millions in cash and cryptocurrency. Jered J. Hayward, 45, was already on probation for other federal drug trafficking charges when federal authorities searched his warehouse last September, seizing Read More
