On August 4, a proposed initiative to legalize recreational marijuana was turned down by the State Board of Election Commissioners. The commissioners dismissed the amendment, with one of the main issues being the level of THC allowed in cannabis edibles. Now, THC levels are generating a new controversy over medical marijuana.
A federal lawsuit filed on July 12 in Little Rock, is now looking to use federal Racketeer Influenced and Corrupt Organizations (RICO) statutes, which were created to target organized crime. Arkansas is seeking to use RICO to go after medical marijuana suppliers in the state that allegedly sold cannabis with lower-than-advertised potency.
Pete Edwards, Don Plumlee and Jakie Hanan, the plaintiffs, argue that at some point they bought medical marijuana that had THC 25% lower than what was advertised, and, asked to be ruled a class action, reported wreg.com
In addition, the plaintiffs argued that the marijuana business is subject to the federal RICO Act since large-scale marijuana production and sale is illegal under federal law.
“If successful, it could ultimately impact accessibility to medical marijuana in the state,” reported local media.
The lawsuit names California-based marijuana testing service Steep Hill, Inc. and its Arkansas subsidiary, Steep Hill Arkansas, the co-owners of Steep Hill Arkansas, Dr. Brandon Thorton and Brent Whittington, Osage Creek Cultivation, Bold Team LLC, and Natural State Medicinal.
Photo by Mick Haupt on Unsplash.
© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
The Benzinga Cannabis Capital Conference is coming to Florida
The Benzinga Cannabis Capital Conference is returning to Florida, in a new venue in Hollywood, on April 16 and 17, 2024. The two-day event at The Diplomat Beach Resort will be a chance for entrepreneurs, both large and small, to network, learn and grow. Renowned for its trendsetting abilities and influence on the future of cannabis, mark your calendars – this conference is the go-to event of the year for the cannabis world.
Get your tickets now on bzcannabis.com – Prices will increase very soon!