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Massachusetts Slaps Big Cannabis With $165K Fines For Safety Failures

Nicolás Jose Rodriguez
October 13, 2024

Massachusetts cannabis regulators have fined two prominent companies, Ascend Wellness Holdings (CSE:AAWH) (OTC:AAWH) and Curaleaf Holdings (TSX:CURA) (OTC:CURLF), for violations related to consumer safety practices. The fines, totaling $165,000, were issued after both companies self-reported the incidents, according to The Boston Globe.

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Ascend Wellness Faces Track-and-Trace Compliance Issues

Ascend Wellness, which operates three dispensaries in the state, was fined $85,000 for failing to properly comply with Massachusetts’ track-and-trace system. Regulators were unable to verify the delivery of nearly 900 cannabis products due to discrepancies in Ascend’s tracking processes.

The state's Cannabis Control Commission (CCC) deemed the violations significant, but Ascend's president and co-founder, Frank Perullo, reassured that the company has implemented corrective measures. “Ascend is fully committed to adhering to the regulations set forth by the CCC and places great importance on compliance,” Perullo said in a statement. “We have already implemented most of the necessary actions and remain dedicated to restoring trust.”

Read Also: Major Cannabis Merger Approved In New York: Can Weed Stock Investors Take Advantage?

Curaleaf Placed On Probation After Contamination Issues

Curaleaf, another major player in the Massachusetts cannabis industry, was fined $80,000 for not adhering to best practices in preventing contamination at its cultivation sites in Amesbury and Webster. Violations, dating back to 2021, included facility maintenance issues such as unsecured doors and gaps in ducts.

The CCC placed Curaleaf on a six-month probation, during which the company must report any pesticide detection and could be subject to third-party testing to ensure compliance.

In response, Curaleaf expressed its dedication to customer safety. “The health and safety of our patients and customers remains our number one priority,” the company said, adding that they have made necessary changes to prevent future issues.

Both companies have committed to improving their operations and working closely with regulators to ensure compliance moving forward.

Read Also: Buy A T-shirt, Get Busted: Loophole In Minnesota Cannabis Market Could Cost Retail Operators A 5-Year Ban

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