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Cannabis Regulatory Agency Suspends Licenses of Flint Marijuana Sales Location, Issues Marijuana Product Alert
November 15, 2022
In order to ensure the health, safety, and security of the public and integrity of the marijuana establishment operations, today the Cannabis Regulatory Agency announced a summary suspension of the medical and adult-use marijuana licenses held by GC Flint, LLC dba Green Culture, located at 808 S. Center Rd in Flint. The CRA also issued a health and safety bulletin, alerting consumers to unregulated marijuana product sold by Green Culture that may have contained unacceptable levels of banned pesticides, heavy metals, mold, and/or bacteria.
“This conduct is a risk to public health and safety and is completely unacceptable,” said CRA Acting Executive Director Brian Hanna. “Today we issued a suspension of their licenses, and it is my intention to pursue revocation of these licenses. Other marijuana licensees should take note – we will not stop investigating until we clear the regulated market of this type of activity.”
On August 27, 2022, the CRA received a complaint alleging GC Flint, LLC dba Green Culture (Respondent) was improperly selling caregiver product and was provided an ACF MoonRock Acai Haze pre-roll (3 grams) that (among other things) did not have test results or a statewide monitoring system (Metrc) tag.
During a September 28, 2022 visit, CRA investigators observed several ACF MoonRock pre-roll products on the sales floor that did not have Metrc tags and were not entered into Metrc. The product labels contained the universal marijuana symbol, however, Respondent stated that their MoonRock products were 100% hemp extracted CBD, contained less than 0.3% Tetrahydrocannabinol (THC), did not require Metrc tags, were not tracked in Metrc, and were not made from caregiver marijuana.
During the September 28 visit, CRA investigators observed a box with green containers containing ACF Labs MoonRocks product without Metrc tags, numerous ACF Labs pre-roll products that were without Metrc tags, five ACF packages of flower that were without Metrc tags, and several other ACF Labs products without Metrc tags on the sales floor.
CRA investigators observed additional products that were not properly tagged and/or entered in Metrc during follow-up visits to Respondent’s business between September 28 and October 4, 2022.
On September 29, 2022, CRA investigators also conducted an audit of all untested product reported in Metrc to be at Respondent’s business. During the September 29 visit, caregiver product was found in black bins in a storage room. The CRA weighed the product on-site and compared the weight to the amount stated in Metrc for the corresponding products. Approximately 58 pounds (26,483.50 grams) of caregiver product entered into Metrc could not be located at the business.
CRA investigators returned to the business on October 3, 2022 and met with additional members of Respondent’s staff who admitted and signed a document acknowledging that several untagged packages of product were in fact marijuana.
Respondent admitted to obtaining product from ACF Labs and that the ACF Labs untagged product was marijuana. ACF Labs is not licensed by the State of Michigan as a medical marijuana facility or an adult-use marijuana establishment. ACF Labs is the assumed name of Bee Pure Health, which is licensed by the State of Michigan as a hemp processor. Respondent acknowledged that they accepted product transfers from ACF Labs without the use of a secure transporter; that Respondent’s staff sometimes picked products up at ACF Labs directly; and that ACF Labs products were otherwise delivered to Respondent’s business, sometimes through the front door rather than the back delivery entrance.
As part of the investigation, the CRA reviewed content from Respondent’s point of sale system, which revealed that between February 10 and September 30, 2022, Respondent sold or transferred 17,947 ACF Labs products to patients or consumers without full compliance testing, without proper Metrc tags and labeling, and without entering required information in Metrc.
On October 4, 2022, a sampling event was conducted while the CRA was onsite in order to facilitate full compliance testing of the untagged product. A total of 51 samples of product were collected for testing. Of the 51 untagged products tested following the October 4 sampling event, 49 were confirmed to be marijuana, with a total THC concentration greater than 0.3%. The remaining two had less than 0.3% THC and were identified as hemp. More than three-quarters of the products contained paclobutrazol (a banned pesticide), nickel (a heavy metal), aspergillus (a type of mold), and/or total coliforms (bacteria) in amounts exceeding state limits.
Respondent’s actions demonstrate a violation of state law and the administrative rules, and the safety or health of patrons or employees is jeopardized by Respondent’s continued operation, and that the public health, safety, or welfare requires emergency action. With the issuance of these formal complaints, the CRA gives notice of its intent to impose fines and/or other sanctions against GC Flint’s license, which may include the suspension, revocation, restriction, and/or refusal to renew the license. GC Flint has the right to request a hearing and/or a compliance conference regarding these summary suspensions and formal complaints.
CRA Issues Marijuana Product Alert
In the interest of public health and safety, the Cannabis Regulatory Agency (CRA) issued a health and safety bulletin, alerting consumers to unregulated marijuana product sold by Green Culture that may have contained unacceptable levels of banned pesticides, heavy metals, mold, and/or bacteria. Green Culture (formally named GC Flint, LLC) operates state-licensed medical and adult-use marijuana businesses (license numbers PC-000181 and AU-R-000396) at 808 South Center Road in Flint, Michigan.
The CRA initiated an investigation into Green Culture after receiving an allegation that the business was selling marijuana products without required tags and testing. The investigation revealed numerous products in Green Culture’s business that were not entered into Michigan’s “seed to sale” tracking system (Metrc), tagged, or tested as required by state law. Many of the products had already been sold or transferred to consumers.
Samples of the products still on-site at Green Culture were tested at the CRA’s request. Testing confirmed that the products were marijuana, with THC values above 0.3%. More than three-quarters of the products contained paclobutrazol (a banned pesticide), nickel (a heavy metal), aspergillus (a type of mold), and/or total coliforms (bacteria) in amounts exceeding state limits.
The products at issue were pre-rolls sold or given away as promotional items to consumers from February 10 through September 30, 2022. Most were labeled as “MoonRock blunt.” The products do not contain identifying Metrc labels. Various examples of the 0.7-gram, 1.5-gram, and 3-gram pre-rolls include the following:
Similar products in state-licensed marijuana businesses should be reported to the CRA Enforcement Division at CRA-Enforcement@michigan.gov or 517-284-8599.
Marijuana consumers who have experienced adverse reactions after using these products should report their symptoms and product use to their health care providers. Consumers are encouraged to also report any adverse reactions to marijuana product to the CRA via email at CRA-Enforcement@michigan.gov or by phone at 517-284-8599.