The Michigan Cannabis Regulatory Agency (CRA) issued three formal complaints that involve numerous alleged violations by Trucenta LLC, a vertically integrated company that is involved in cultivation, processing, manufacturing, wholesale distribution, and retail. Trucenta also opened the state’s first licensed cannabis consumption lounge, Hot Box Social, in Hazel Park, in 2022.
The company, in a new release, is accused of improperly transporting cannabis products, misusing the statewide monitoring system, failing to maintain surveillance footage, and trying to conceal alleged violations by switching tags on different forms of marijuana.
When the CRA conducted an unannounced inspection on April 11, Trucenta employees hurriedly placed the wrong tags on distillate in an attempt to deceive inspectors, according to the formal complaints.
Although marijuana facilities are required to maintain surveillance footage for at least 30 days, Trucenta failed to disclose some of its video recordings, the CRA alleges.
“Respondent did not provide all camera angles as requested and there were numerous time gaps in Respondent’s submission,” the CRA wrote in one of the complaints.
The CRA also alleges Trucenta submitted numerous cannabis samples for testing at a licensed lab but failed to add the samples or test results to the statewide monitoring system, as required by law. Between April 2023 and September 2023, Trucenta issued about 100 different samples for testing, and 53 failed due to the presence of heavy metals, solvents, or banned pesticides.
Additional tests of five-gram packages of distillate found bifenthrin, a banned chemical. Of the 15 packages, 11 failed, according to the CRA.
Surveillance video of the sampling process was not turned over.
Now the CRA is considering what action to take against Trucenta.
“The CRA gives notice of its intent to impose fines and/or other sanctions against these licenses, which may include the suspension, revocation, restriction, and/or refusal to renew,” the agency said in a news release.