Fraud Friday: Cannabis product manufacturer being investigated for conducting unlicensed operations


A Los Angeles-area cannabis product manufacturer is being investigated for conducting unlicensed operations that put illegally manufactured cannabis products back into the legal market. Affected products include 3.3 million Kushy Punch brand gummies with an estimated value of $64 million. The complaint against the company also alleges they were making a product called “Kushy Punch T.K.O.” that contained more than the legal limit of THC. The company’s manufacturing licenses have been revoked, and a penalty could apply in the amount of up to three times the amount of the $75,000 license fee for each day of unlicensed operation. (https://cannabis.ca.gov/2020/09/24/cannabis-licensing-authorities-file-civil-action-against-vertical-bliss-kushy-punch-for-unlicensed-activity/)

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