CAFE Licence; FBI Crackdown; Calgary Delivery

Us Cannabis Corruption
Us Cannabis Corruption

Ontario Cannabis Licence Winner Connected with Infamous CAFE

Rob Heydon, the sole director of numbered company, 11180673 Canada Inc., said he does not have a connection with CAFE. However, the location on his Ontario cannabis lottery licence application is listed as 104 Harbord St. in Toronto. That’s the same location as one of CAFE’s four shops. “”I am a film producer and director and have never met these people you talk about,” he told CBC in a text message.

However, the address raises questions. Jenessa Crognali, press secretary for Ontario Attorney General Doug Downey, said that licence applicants face tough pre-screening. “The Act precludes licences from being issued to anyone… (involved with) the illegal sale of cannabis after October 17, 2018,” she said.

Forty-two licences were announced August 21, this time covering the whole province. Eight more, designated for First Nations, have yet to be announced.

https://www.cbc.ca/news/canada/toronto/ontario-cannabis-retail-lottery-winners-pot-1.5254518

Aphria and ParcelPal Bring Home Delivery to Calgary First – LPC

Aphria, Inc. has entered a deal with ParcelPal Technology  to deliver its medical cannabis in Calgary.  “We are thrilled to be working with Aphria, one of the largest LPs in Canada,” said Brian Storseth, ParcelPal Chairman. Deliveries will start in Calgary, Windsor, and Toronto, and expand across Canada he said.

ParcelPal has a similar delivery deal with Ontario-based craft brewery Cowbell Brewing Co. The company stated that both Aphria and MADD Canada believe the deal will “assist in eliminating impaired drivers from our roadways”.

https://www.forbes.com/sites/javierhasse/2019/08/22/aphria-parcelpal/#166d32cb3566

US FBI Cracks Down on Cannabis Licence Corruption

Although cannabis is still illegal federally in the United States, the US government shifted its stance to essentially turning a blind eye where states have legalized it for medical and/or recreational use. However, the US Federal Bureau of Investigation (FBI) is cracking down on corruption within the licensing process.

“States require licences… opening the possibility for public officials to become susceptible to bribes,” said Mollie Halpern, FBI Public Affairs. “The corruption is more prevalent in western states where the licensing is decentralized.” Decentralization increases the risk of corruption, she implied.

Bribes can go as high as $500,000 US for a cannabis licence. “We see people willing to pay large amounts of money to get in to the industry,” said Supervisory Special Agent Regino Chavez.

https://www.forbes.com/sites/tomangell/2019/08/16/fbi-seeks-tips-on-marijuana-industry-corruption/#2543a6044ca7

This editorial content from the LPC News Editor is meant to provide analysis, insight, and perspective on current news articles. To read the source article this commentary is based upon, please click on the links provided.

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