Missouri companies Archimedes Medical Holdings, FUJM, and Holistic Health Capital must destroy medical cannabis products and relinquish their licenses as per an agreement with regulators following accusations of “pervasive irregularities.”
A group of medical cannabis cultivators in Missouri must destroy their products and relinquish their licenses as part of an agreement to resolve a dispute with the state, the St. Louis Post-Dispatch reports. Archimedes Medical Holdings, FUJM, and Holistic Health Capital signed the agreement last month following accusations of “pervasive irregularities” that prevented officials from determining whether any product from the licensees’ three grow facilities had been properly tested to “numerous outages” on security cameras that went unreported to regulators.
The state also accused the growers of allowing employees to use and apply pesticides without training or proper equipment and leaving products unsecured.
The agreement said the licensees “disagree with” the Department of Health and Senior Services (DHSS) position and the settlement “shall not be construed as an admission of liability or wrongdoing by any Party.”
In an email to the Post-Dispatch, Tanner Rolfes, attorney for the licensees, said his clients “are pleased with the settlement agreement and looking forward to the future.”
“Most importantly,” he wrote, “the settlement confirms that Archimedes et al, as well as any affiliated entities or individuals, were not involved in any unlawful conduct.”
Lisa Cox, spokeswoman for the DHSS, said the primary licensees are ineligible for future licenses.
Under the agreement, licensees must transfer operational duties of the facilities to a third-party management company by the end of the month. By the end of November, the licenses must be fully transferred or they will be automatically surrendered by December 1.