Millions Of Dollars Could Go Down The Drain If Alabama Cannabis Saga Continues, CEO Reminds Of His Pledge

As Alabama's cannabis regulators prepare to redo medical marijuana's license allocations yet again, after failing to award them twice, the CEO and founder of one of the major players in the space reached out to Governor Kay Ivey.

George Archos, the successful executive and cannabis entrepreneur behind Verano Holdings Corp. VRNO VRNOF told Gov. Ivey in a letter last week that the multi-state operator with more than 3700 employees plans to invest millions in Alabama, reported Green Market Report's Adam Jackson.

"We remain ready, willing, and able to invest at least $40 million in Alabama," Archos wrote in his Aug. 24 letter.

His colleague, Darren Weiss, president of Verano Holdings, is a speaker at the upcoming Benzinga Cannabis Capital Conference in Chicago on Sept. 27-28 where he will undoubtedly have more to say on the company's challenges in Alabama.

Background

Chicago-based Verano was last among many medical marijuana companies to file a lawsuit against the Alabama Medical Cannabis Commission (AMCC) last week.

Why? Verano Alabama, LLC, a joint venture established by Verano, secured one of  Alabama's highly sought-after licenses in June.  Then the company suddenly lost its chance to enter the market when the AMCC chose Insa Alabama LLC instead.

"Imagine our surprise weeks later when the Commission sought to 'void' its June proceedings, deliberate behind closed doors, and change the result by casting aside the objective licensing system Alabama's elected representatives created," Archos wrote in the letter on the same day the AMCC asked the court to reinstate the licensing process that has been lost following Montgomery Circuit Judge James Anderson's recent decision.

The judge recently initiated a temporary restraining order that halted the ongoing licensing process. His decision was an answer to a legal action brought by a medical cannabis company this summer. Alabama Always LLC sued the state regulator for its faulty cannabis licensing process and also for improperly deleting meeting recordings in a separate lawsuit, seeking a temporary restraining order to block the licenses from being issued.

What's Next?

A preliminary hearing that would address the possible Open Meetings Act violations allegedly committed by the AMCC is scheduled for this Monday. The AMCC intends to redo the licensing process again on Thursday, August 31.

"By departing from the law, the Commission has found itself in an endless loop of licensing "do-overs," Archos wrote in the letter.

The Benzinga Cannabis Capital Conference, the place where deals get done, is returning to Chicago this Sept 27-28 for its 17th edition. Get your tickets today before prices increase and secure a spot at the epicenter of cannabis investment and branding.

Photo: Courtesy of Scott Graham on Unsplash