New York regulators have expanded a marijuana product recall after alleging that the operator in question illegally “inverted” cannabis into the regulated system.
The recall comes amid concerns that inversion – or the insertion of cannabis or THC produced outside of regulated channels into the legal market – has become a problem in the industry, particularly in New York.
The state’s Office of Cannabis Management (OCM) alleged in a June 25 news release that Brooklyn-based licensed producer IndoGro used “material sourced from an out-of-state entity” in violation of both New York marijuana law and public safety standards.
As a result, 28 flower and pre-rolls made by IndoGro have been recalled, with consumers advised to “immediately discontinue use” and discard the products, the OCM said.
The products might have been sold with labels including Indi, Grow by Indi, Our Creation and Grow with Us, the agency noted.
The company could not be immediately reached by MJBizDaily.
However, IndoGro told a TV station that conflicting testing results were to blame.
“These flower batches were sourced exclusively from third-party growers,” a company representative told Albany-based WTEN.
“Initial testing, conducted by an independent laboratory, indicated these products met all required standards.
“However, subsequent testing from a different lab detected chemicals that do not meet OCM’s standards.
“As soon as those new results became available, we moved immediately to initiate a recall.”
‘Unallowable pesticides’ prompted initial recall
The June 25 enforcement action against IndoGro followed an initial June 11 recall prompted by the discovery of “unallowable pesticides” in the company’s marijuana products.
In that instance, the OCM quarantined the products after discovering “a lack of validity in testing by a former permitted laboratory.”
A subsequent retest revealed pesticides in nine product lots, all of them flower or pre-rolls, according to the OCM.
The OCM did not identify the lab nor indicate any punitive action against the facility.
An investigation is ongoing, the agency said.
However, marijuana operators say inversion is still a problem in other states with track and trace such as Colorado.
Unscrupulous operators may be tempted to obtain bulk THC oil derived from hemp due to its lower cost and regulatory burdens.
This most recent recall follows a May quarantine of about $10 million worth of marijuana products, including some popular national brands.
New equity officer and adult-use licensing update
Meanwhile, the Cannabis Control Board on Friday confirmed a new chief equity officer for the OCM and approved 53 more adult-use marijuana business licenses.
L. Simone Washington, whom a news release described as a “seasoned change management professional with a deep background in Diversity, Equity, Inclusion, and
Accessibility,” replaces Tabatha Robinson, who had served as acting chief equity officer.
Robinson left her post in January to take over as chief of the Maryland Cannabis Administration.
Here’s the breakdown of the newly approved adult-use licenses:
- Processor: 21
- Microbusiness: 14
- Retail: 12
- Distributor: 5
- Cultivator: 1
There are now 413 licensed adult-use stores open for business in New York, according to the OCM.
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