Cannabis Companies Tilt, Ayr Wellness Pay Nearly $300,000 Each In Fines To Massachusetts Pot Authorities

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Two cannabis operators Tilt Holdings (OTCQX: TLLTF) and Sira Naturals, a subsidiary of Ayr Wellness (OTCQX: AYRWF) agreed to settle on separate allegations of regulatory violations with the Massachusetts Cannabis Control Commission, writes Marijuana Business Daily. 

Both settlements were approved on June 17th. 

The Tilt Settlement 

Tilt’s settlement involved allegations that the company’s former parent, Sea Hunter Therapeutics, had used subsidiaries to manage five medical cannabis treatment centers, although it was allowed to control only three. This happened between 2016 and 2018. 

Tilt, based in Arizona, recognized responsibility for this.

“We worked diligently with the Cannabis Control Commission to resolve the investigation that has stalled our remaining state licenses for the past two years. We appreciate the time, effort, and professionalism afforded to TILT by the CCC staff and are thrilled to have come to an amicable resolution with the Commission,” Tilt’s CEO Gary Santo stated.

He added that the finalization of the investigation “marks the turning of a page for Tilt,” as the company plans to complete its licensing process and expand its retail outreach in Massachusetts, by opening two new dispensaries. 

The company agreed to pay a $275,000 fine to the CCC Marijuana Regulation Fund. 

The Sira Natural Settlement 

Ayr Wellness’ subsidiary Sira Natural was accused of having run an unlicensed delivery service called Stalk & Beans to deliver cannabis products to third-party businesses under Sira’s license, writes Marijuana Business Daily. 

In addition to paying a $295,000 fine, one of its Massachusetts licenses will be “subject to a one-year probationary period.”

Ayr Wellness commented on the settlement saying the following: “While no violation has been admitted, the Company thanks the Commission for its efforts and dialogue over the intervening period and appreciates the important clarifications that the settlement provides.”

Price Actions

Tilt Holdings’ shares were trading 3.37% lower at 48 cents per share at the time of writing.

Ayr Wellness’ shares were sliding 1.16%, trading $25.63 per share at the time of writing.

Photo by Tim Foster on Unsplash

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