No, this is definitely illegal in the US. You will likely get multiple charges for fraud, intent to sell narcotics, and if anyone gets harmed attempted manslaughter (some people are allergic to oregano, a lot of stuff that looks like cocaine is deadlier than cocaine). If your customers aren’t dumb kids the retaliation could be worse than the cops too.
Fraud I get, but intent to sell narcotics is ridiculous. You never had the intent, that’s why you’re selling oregano. And manslaughter? WTF. Battery at best, manslaughter only if someone actually dies. The US legal system is so damn punitive.
If someone was actually allergic to oregano, and smoked it, they would be in a bad way.
If they vomited and aspirated while having breathing trouble from their allergy, or experience any other type of complication while they are in respiratory distress you are totally on the hook for what happens to them.
Of more concern is the snitches in the school. This kid needs to clean house, teach them the find out phase.
attempted manslaughter
Given that manslaughter is accidental killing I don’t believe you’re really a lawyer