Final month, Overall health Canada suspended one more Canadian company’s cannabis license more than noncompliance with federal laws and regulations.

British Columbia-primarily based pot corporation Evergreen Medicinal Supply’s license has been suspended just after an unannounced inspection by Overall health Canada from earlier this year, the federal regulator stated.  

The violations pertain to Very good Production Practices, mandatory below the country’s Cannabis Act, record maintaining, inventory handle and adherence to license controls.

“Health Canada suspended Evergreen Medicinal Provide Inc.’s licenses to guard public overall health and security, such as stopping cannabis from getting diverted to the illegal market place, as a outcome of noncompliance with specific provisions of the Cannabis Act and Cannabis Regulations,” a Overall health Canada spokesperson told Marijuana Business enterprise Day-to-day. Even so, Evergreen is “working on corrective actions,” he added. 

Two months prior to Evergreen’s license suspension, Overall health Canada found CannTrust, a reliable health-related cannabis provider, had been expanding marijuana in unlicensed rooms in a single of its facilities.

CannTrust decided to quit all distribution of its merchandise in the course of Overall health Canada’s critique of its operations, and began exploring all selections for the corporation, even the prospect of promoting it. One particular of the prospective repercussions of CannTrust’s violation of regulations contains a penalty of up to $1 million for each and every violation.

A BNN Bloomberg report later stated that senior employees at CannTrust brought marijuana seeds from the black market place into the company’s Pelham facilities. In an work to hide the origin of the seeds, workers changed the names of the marijuana strains to these they had a license to develop and sell.

Just before the CannTrust scandal, which led to the firing of chief executive Peter Aceto and many corporations filing a securities fraud class-action lawsuit against the corporation, Winnipeg’s Bonify Health-related Cannabis had its sales license suspended by Overall health Canada as nicely.

Regulators stated that Bonify possessed, distributed and sold merchandise it acquired from illegal sources. A third-celebration investigation alleged that senior managers threatened employees to turn a blind eye when 200 kilograms of unlicensed marijuana have been delivered to Bonify’s Winnipeg facility. These executives have been subsequently fired.

There are at present more than 200 federally licensed marijuana corporations operating in Canada.