PANAMA CITY, FL. Back in March 2026, state inspectors walked into Sunshine Bay Empire LLC, a convenience store in Panama City, and found kratom products on the shelf with concentrations of 7-Hydroxymitragynine above the legal limit. Inspectors immediately issued a Stop Sale Order and Release, citing violations of controlled substance law under Florida Statutes 893.03 and 893.035 and the Department of Legal Affairs Emergency Rule 2ER25-2.
That was not the only product pulled from the shelves that day.
What Inspectors Found
The March 16 inspection, triggered by the store operating without a valid food permit, turned up 18 total violations, including 2 classified as priority and 2 marked as repeats. Not a single violation was corrected on site during the inspection itself.
The kratom seizure was the most serious finding. Inspectors noted that products behind the counter had 7-Hydroxymitragynine concentrate above the legal limit and issued both a Stop Sale Order and a Release order. Multiple additional kratom products were placed under Stop Sale Orders separately because they lacked required labeling, including the concentration of 7-OH expressed in parts per million on a dry weight basis, and the net quantity of the package.
Beyond kratom, the hemp extract products on the shelf had their own cascade of violations. Inspectors found hemp inhalation products not clearly marked with the statement "Not Intended for Ingestion, Do Not Eat." Other hemp products lacked the number of marketed cannabinoids per serving. Still others were sold in packaging with no expiration date. Each category drew its own Stop Sale Order.
No age restriction sign was posted for either the kratom products or the hemp extract products. Inspectors provided industry handout signs for both on the spot.
No Hot Water, Blocked Sinks, Chemicals Over Drinks
The store's plumbing problems compounded the picture. Upon arrival, inspectors found no hot water provided to any handwashing sink, the ware wash sink, or either restroom. A Stop Use Order was issued for the water system. Inspectors noted that the plumbing was not of sufficient capacity to meet peak water demand.
The ware wash area handwashing sink was blocked by a garbage can in front of it, with mop and broom handles propped on the side. Separately, handwashing soap dispensers were stored above the mop sink rather than at the handwashing station. No backflow prevention device was observed on a hose bibb outside the front of the building.
In the retail area, antifreeze, transmission fluid, engine oil, Armor All, and brake fluid were stored above canned drinks. Inspectors had the drinks removed from the area and relocated during the visit. In the ware wash area, miscellaneous chemicals were stored on top of the ware wash sink. Those were also relocated on site.
Those were the only two corrections made during the inspection.
What These Violations Mean
The kratom potency violation is the most consequential finding in this inspection. 7-Hydroxymitragynine is a psychoactive compound found in kratom that Florida law now regulates under controlled substance statutes. Products with concentrations above the legal limit are subject to seizure precisely because consumers have no way to know from the packaging what they are actually ingesting. The Stop Sale and Release order means those products were not just pulled from the shelf but taken into state custody.
The hemp labeling violations, while less dramatic, carry real risk. When inhalation products lack the "Not Intended for Ingestion" warning, consumers who do not know the difference between hemp extract product types can use them incorrectly. When products lack expiration dates or cannabinoid counts per serving, a customer has no way to make an informed decision about dosage or freshness.
The absence of hot water across every sink in the building is a foundational sanitation failure. Effective handwashing requires water at a minimum temperature, and without it, neither employees nor customers washing hands in the restrooms are getting the protection they expect. A Stop Use Order on the water system means inspectors formally prohibited its use until corrections are made.
Storing antifreeze and brake fluid above canned beverages is a direct contamination risk. A spill, a leak, or a misplaced container could render those drinks unsafe without any visible sign to a customer or employee.
The Longer Record
The inspection history at this location is short but pointed. State records show one prior FDACS inspection on record, from March 14, 2023, which cited two violations, one of them also for operating without a valid food permit.
Three years later, in March 2026, the store was again operating without a valid food permit. That violation is marked as a repeat on the current inspection report.
The permit violation alone triggered this inspection. Inspectors arrived specifically because the store was open and selling food without a currently valid license, and what they found once inside went well beyond the permit issue. An application had been submitted, and the store was given 10 days to remit payment of the appropriate fee.
As of the inspection date, none of the plumbing violations, the blocked handwashing sink, the missing illness reporting documentation for food employees, and the missing written vomiting and diarrhea cleanup procedures had been corrected on site.