Excellent report from Crains..
Michigan regulators have stripped the marijuana grower licenses from an Albion operation under scrutiny from law enforcement.
The state’s Cannabis Regulatory Agency announced a consent order Thursday against Albion-based Hongrui Enterprises Inc. prohibiting the grower from operating in the state and permanently banning its owners, Kevin Sea and Connie Zhao, from participating in the industry.
The legal closure of Hongrui is mostly procedural. The operation had never made a legal sale in the market, had never passed a safety inspection and its weed had never passed quality testing, according to the CRA.
Read the full report
https://www.crainsdetroit.com/cannabis/hongrui-enterprises-loses-cannabis-grow-licenses
Albion Marijuana Grower Licenses Permanently Closed
January 23, 2025
The Cannabis Regulatory Agency (CRA) signed consent order and stipulation documents with Hongrui Enterprises, Inc, located at 1100 Industrial Blvd., Albion, MI 49224, which resulted in the permanent closure of its grower licenses.
Licenses GR-C-000565, GR-C-000566, GR-C-000567, GR-C-000568 are permanently closed and will not be renewed, reinstated, reissued, or reactivated, limited or otherwise, at any future date.
Kevin Sea and Connie Zhao are permanently prohibited from:
- Applying for or otherwise seeking any new marijuana business license in Michigan
- Exercising managerial control over a marijuana business in Michigan
- Otherwise meeting the criteria to be deemed an applicant, supplemental applicant, or otherwise subject to a background investigation of any such business in Michigan
- Having any new ownership interest in a licensed marijuana business in Michigan
- Being employed or working in any capacity at a licensed marijuana business in Michigan, including but not limited to, performing the functions of a regular or managerial employee, rendering any services as an independent contractor, or rendering any services via another party
The consent order and stipulation documents as well as the formal complaints are found here:
Hongrui Enterprises, Inc and Kevin Sea and Connie Zhao have been added to Michigan’s marijuana industry exclusion lists, which are available online and include individuals excluded from participating in the licensed marijuana industry in Michigan.
A Reminder to Licensees
Licensees must screen prospective employees, supplemental applicants, and owners against the exclusion list as they are prohibited from employing excluded individuals or allowing them to be supplemental applicants on a license.
