Stipulated Settlements for Recreational Marijuana Violations Approved

OREGON: At its monthly meeting on February 21, 2019 the Commissioners of the Oregon Liquor Control Commission approved rules for regulating industrial hemp that enters into the OLCC regulated marijuana system.

The new industrial hemp rules implement the provisions of House Bill 4089 approved by the Oregon Legislature and signed into law in 2018.  HB 4089 alters the way hemp items can enter the OLCC licensed system.  The rule change allows for additional OLCC recreational marijuana license types to receive industrial hemp items from growers and handlers registered with the Oregon Department of Agriculture.

A key element of the rules requires that hemp items received by OLCC licensees be tracked using a seed-to-sale tracking system; this means hemp items will be tracked using the same Cannabis Tracking System (CTS) required for marijuana and marijuana products.

The new hemp rules can be found here on the OLCC website.

The Commission also approved the following fines and/or marijuana license suspensions or license surrenders based on stipulated settlements:

CR HEALTHY OPTIONS* will pay a fine of $1,485 or serve a nine day recreational marijuana producer license suspension for one violation.
Licensees are Linda Mayfield, Co-Licensee; Larry Mayfield, Co-Licensee.

Phillips Field Facility* will pay a fine of $7,755 or serve a 47-day recreational marijuana producer license suspension for two violations.
Licensee is Phillip Field Facility, LLC; Susan Phillips, Member.

Kleen Karma Gardens* will pay a fine of $2,640 or serve a 16-day recreational marijuana producer license suspension for two violations.
Licensee is Kleen Karma Gardens, Inc.; Oregon Care 4 You, LLC, Stockholder; Mark Mobray, Pres/Sec/Dir/Member; Kimberly Bottaro, VP/Director.

Lunchbox Alchemy*; will pay a fine of $8,415 or serve a 51-day recreational marijuana processor license suspension for two violations.
Licensee is CHC Laboratories, LLC; Cameron Yee, Managing Member.

Gorgeous Green Farms*; will pay a fine of $7,260 or serve a 44-day recreational marijuana producer license suspension for three violations.
Licensee is Gorgeous Green Farms, LLC, Dungey Holdings, LLC, Member; Scott Dungey, Member; F&P Investments, LLC, Member; Jeffrey Froug, Member.

Panda Farms*; will surrender its producer license on the date the transfer of ownership of the business is completed or at 7:00 AM on May 21, 2019, whichever is earlier, and each licensee agrees to accept a letter of reprimand for nine violations.
Licensee is Geiger Industries, LLC; Kali Mata, LLC, Managing Member; Nitin Khanna, Managing Member; Karan Khanna, Member; Portsmouth Enterprises, Managing Member; David Alport, Stockholder.

*The locations of OLCC marijuana producer, processor and wholesale licensees are exempt from public disclosure under Oregon law. 

A copy of the Stipulated Settlement Agreements for Marijuana Violation Cases can be found on the OLCC website, on the Laws & Rules page under the Final Orders section.