The Michigan Cannabis Regulatory Agency has released documents detailing sanctions against cannabis processor Ground Control Michigan, also known as GCM Waypoint, in Bangor.
As a processor, Ground Control created marijuana products like edibles and concentrates to sell to dispensaries. In June, the CRA released formal complaints against Ground Control that alleged several counts of misconduct under Michigan cannabis law.
The allegations, which are split up into two separate complaint documents, include: illegally transporting marijuana products across state lines, lying to investigators, denying CRA inspectors access to facilities, mishandling surveillance recordings, improper tracking and labeling of products within the state's "METRC" cannabis tracking system, and more.
One of the formal complaint documents specifically details the allegations of illegally transporting marijuana products across state lines.
According to the documents, the CRA alleges Ground Control employees transported 249 marijuana products in a personal vehicle to Massachusetts, where they were given to an individual. The documents allege a staff member initially lied to investigators about this, and later confessed after the products were found in Massachusetts.
Another formal complaint document details separate incidents that are alleged to have occurred at the Bangor facility. One incident describes a situation in which Michigan State Police seized vape cartridges that were allegedly still listed in the state's "METRC" tracking system as being inside the Ground Control facility.
The complaint alleges that CRA investigators visited the facility in Bangor to verify the whereabouts of the seized products, and found that over 32,000 vape cartridges that appeared in Ground Control's inventory were missing with no explanation.
The CRA officially finalized two consent orders and stipulations, which are documents that detail sanctions against a marijuana business under Michigan cannabis law, on July 13. The orders go into effect on July 23.
According to the orders, Ground Control must surrender its license, permanently close and cease all operations by July 28. Ground Control did not contest the claims and agreed to all sanctions. Its license cannot be renewed, reissued or reinstated.
Michigan State Police and the Massachusetts Cannabis Control Commission collaborated with CRA investigators on the case.
In a statement, CRA Executive Director Brian Hanna called the alleged conduct "egregious".
"I also want to commend the CRA’s investigators for their exceptional investigative work and unwavering commitment throughout this complex case. Their diligence, expertise, and dedication were instrumental in ensuring accountability. The conduct uncovered through this investigation was egregious and cannot be tolerated in Michigan’s regulated cannabis market. Those who engage in conduct of this nature should expect the CRA to respond decisively and pursue the strongest action available under the law," Hanna said.
Ground Control did not respond to a request for comment.
