CannTrust Holdings, a Canadian cannabis producer, is facing two US directors and officers (D&O) liability lawsuits after putting its products on hold during a regulatory review by authorities. The firm announced on 8 July that its greenhouse facility in Ontario, Canada, did not meet regulations. Health Canada subsequently put 5,200 kilograms of dried cannabis harvested from unlicenced rooms on hold. CannTrust has also voluntarily paused shipment and sale of 7,500 kilograms of cannabis which was harvested in the same rooms. In addition, Canopy Growth Corporation (TSX:WEED) (OTCQX:TWMJF)
CannTrust Holdings, a Canadian cannabis producer, is facing two US directors and officers (D&O) liability lawsuits after putting its products on hold during a regulatory review by authorities. The firm announced on 8 July that its greenhouse facility in Ontario, Canada, did not meet regulations. Health Canada subsequently put 5,200 kilograms of dried cannabis harvested from unlicenced rooms on hold. CannTrust has also voluntarily paused shipment and sale of 7,500 kilograms of cannabis which was harvested in the same rooms. The class action suits charge CannTrust with misleading shareholders on the company's “business, operations, and prospects”.