Massachusetts Fines Big Cannabis $165K for Safety Violations

Massachusetts Cannabis Regulators Fine Ascend Wellness and Curaleaf for Safety Violations

Massachusetts cannabis regulators have issued significant fines to two major industry players, Ascend Wellness Holdings and Curaleaf Holdings, for violations related to consumer safety and compliance. The fines, which total $165,000, come after both companies self-reported the infractions. According to reports from The Boston Globe, the violations highlighted lapses in track-and-trace compliance and facility maintenance, prompting regulators to take action.

Ascend Wellness Faces Track-and-Trace Compliance Issues

Ascend Wellness, which operates three dispensaries across Massachusetts, was fined $85,000 by the state’s Cannabis Control Commission (CCC). The penalty was issued after the company failed to properly follow Massachusetts’ track-and-trace system for cannabis products. Specifically, regulators found discrepancies in Ascend’s tracking process, which resulted in the inability to verify the delivery of nearly 900 cannabis items.

The CCC deemed these compliance issues significant, considering the importance of the track-and-trace system in ensuring the safety and legality of cannabis distribution. However, Ascend Wellness has responded swiftly, with its president and co-founder, Frank Perullo, expressing the company’s commitment to resolving the issue.

“Ascend is fully committed to adhering to the regulations set forth by the CCC and places great importance on compliance,” Perullo stated. He emphasized that corrective measures had already been implemented, and the company is dedicated to maintaining transparency and trust moving forward.

Perullo added that most of the necessary actions have already been taken, reassuring both regulators and customers that Ascend is addressing the violations. The company has pledged to work closely with the CCC to prevent similar issues in the future.

Curaleaf Placed On Probation After Contamination Issues

Curaleaf Holdings, one of the largest cannabis operators in the state, was fined $80,000 for failing to maintain adequate safety practices at its cultivation facilities in Amesbury and Webster. Violations at these sites, some of which date back to 2021, included facility maintenance problems such as unsecured doors and gaps in ventilation ducts, which raised concerns about potential contamination of cannabis products.

The CCC has placed Curaleaf on a six-month probation period as part of the enforcement action. During this probation, the company must report any incidents of pesticide detection in its products and may be subject to mandatory third-party testing to ensure compliance with safety standards.

Curaleaf responded to the probation and fine by reaffirming its commitment to consumer safety. “The health and safety of our patients and customers remains our number one priority,” the company said in a statement. Curaleaf further noted that they have already taken corrective measures to prevent contamination and ensure compliance with state regulations.

While the violations were considered serious, Curaleaf has made it clear that the company is committed to improving its facilities and processes to avoid any future issues. The probationary period will serve as an opportunity for the company to demonstrate its adherence to regulatory requirements and regain the trust of consumers and regulators alike.

Both Companies Pledge Compliance Improvements

Both Ascend Wellness and Curaleaf have taken immediate steps to rectify the issues identified by the CCC. The companies have committed to working more closely with regulators to ensure future compliance and have expressed their dedication to maintaining the safety and quality of their products.

For Ascend, this means further refining its track-and-trace processes to avoid future discrepancies and ensure that all cannabis products can be fully accounted for. For Curaleaf, the focus will be on ensuring that its cultivation facilities meet the highest safety standards and prevent any risk of contamination.

These enforcement actions highlight the ongoing challenges that cannabis companies face in navigating complex regulatory landscapes, particularly in a state like Massachusetts, which has been a leader in establishing comprehensive cannabis safety and compliance standards. Both companies are expected to continue operating under the close supervision of state regulators as they work to address and resolve the violations.

The fines issued to Ascend Wellness and Curaleaf underscore the importance of rigorous safety and compliance practices in the rapidly growing cannabis industry. As Massachusetts continues to refine its regulatory framework, companies operating in the state must prioritize adherence to established safety protocols to ensure consumer trust and the integrity of the market.

With both companies taking steps to address the violations and improve their operations, the incidents serve as a reminder of the challenges and responsibilities that come with operating in a highly regulated industry like cannabis. Moving forward, Ascend Wellness and Curaleaf will be working closely with the CCC to ensure that they remain in full compliance with state regulations, thus safeguarding both consumer safety and their reputations in the market.