420 with CNW – Racial and Civil Rights Groups Urge Congress to Give Cannabis Companies Access to COVID Funds

The economic impact of the coronavirus pandemic will be felt for years to come. Early this year as parts of China shut down due to the outbreak, several industries ran into supply chain disruptions. However, as the virus spread and governments started taking more drastic measures to curb its spread, the impact was even more pronounced.

Cannabis Industry Denied Access

Most businesses are shut down and almost all commerce has ground to a halt. To help cushion small businesses and help them survive, the federal government deployed federal coronavirus relief funds through the Small Business Administration (SBA). One industry that was conspicuously denied access to those funds, however, was cannabis.

Despite being deemed essential by most states that allow cannabis, businesses in the sector cannot access these emergency relief funds. On Monday, a coalition of marijuana reform and civil rights groups sent a letter to Congressional leaders asking them to rethink this decision.

Dubbed the “Marijuana Justice Coalition (MIC),” it consists of 13 organizations including ACLU, NORML, Human Rights Watch, the Center for American Progress, and the Center for Law and Social Policy. They have asked lawmakers to make sure that future COVID-19 stimulus packages include provisions enabling the cannabis industry to receive loan and lending services through the SBA.

“Prior to the COVID-19 pandemic, the marijuana industry already struggled with inclusivity and diversity in ownership and operations, as well as countless barriers to the industry for people directly impacted by marijuana criminalization,” they said. Despite being allowed to operate during the lockdown, social distancing and delivery measures are hard on the bottom line.

The challenges caused by the coronavirus outbreak will disproportionately hit minority-owned businesses the hardest, jeopardizing efforts to make the industry more reflective of communities directly affected by marijuana prohibition, they said.

“Workers in the state-legal marijuana industry are no different from other sectors of the economy who show up to work every day to provide for their families. If marijuana businesses are unable to survive, the lives of millions of patients registered in state medical marijuana programs and the livelihoods of hundreds of thousands of marijuana workers will be under threat,” the coalition wrote.

“Until broader national reforms can be enacted, it is vital that immediate action is taken to protect small businesses, namely businesses owned and operated by people of color and people directly impacted by the war on drugs, operating in this industry. This will ensure that underrepresented business owners are able to survive this economic hit in an industry in which they are already under-resourced.”

It is widely believed that the entire cannabis industry, including companies like Green Growth Brands Inc. (CSE: GGB) (OTCQB: GGBXF), are hoping that the day dawns when the industry will be given equal treatment as other legitimate businesses.

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CNW420 spotlights the latest developments in the rapidly evolving cannabis industry through the release of two informative articles each business day. Our concise, informative content serves as a gateway for investors interested in the legalized cannabis sector and provides updates on how regulatory developments may impact financial markets. Articles are released each business day at 4:20 a.m. and 4:20 p.m. Eastern – our tribute to the time synonymous with cannabis culture. If marijuana and the burgeoning industry surrounding it are on your radar, CNW420 is for you! Check back daily to stay up-to-date on the latest milestones in the fast -changing world of cannabis.

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420 with CNW – Marijuana Arrests Among Blacks in Illinois Seven Times Higher Than Whites, Research Finds

One of the most prominent arguments against the war on drugs, and marijuana specifically, has been the impact it has had on specific communities. And most states that eventually legalized marijuana have been using some of the tax revenue earned from cannabis sales to help remedy this. However, a new study by the American Civil Liberties Union (ACLU), which examined nationwide marijuana arrests between 2010 and 2018, shows just how badly some communities, like African Americans, were disproportionately affected.

According to the study, although marijuana arrests have declined after Illinois decriminalized possession of small amounts of marijuana in 2016, prior disparities in arrests still remain. Researchers found that African Americans were ten times more likely to be arrested than white folks. The imbalance was even more pronounced in DuPage, Cook, Kane, Lake, and McHenry counties.

And this isn’t just a state problem. There is a similar nationwide disparity in arrests, with the study finding that African Americans are 4 times more likely to be arrested. However, Illinois is among the top states that exhibit such a disparity, with Montana and Kentucky showing higher rates of disparity in marijuana arrests.

“Black people are 3.64 times more likely than white people to be arrested for marijuana possession, notwithstanding comparable usage rates. In every single state, black people were more likely to be arrested for marijuana possession, and in some states, black people were up to six, eight, or almost ten times more likely to be arrested,” the study concluded.

“In 31 states, racial disparities were actually larger in 2018 than they were in 2010,” the researchers add.

The study mirrored a 2013 study by the ACLU that came up with similar results. The study concluded that “Such racial disparities in marijuana possession arrests exist in all regions of the country, in counties large and small, urban, rural, wealthy and poor, and with large and small black communities. Indeed, in over 96% of counties with more than 30,000 people in which at least 2% are black, they are arrested at higher rates than whites for marijuana possession.”

As Ben Ruddell, criminal justice policy director of ACLU of Illinois says, “the legacy of rank bias in how we enforced cannabis in Illinois is clear. We should redouble our efforts to ensure that this sort of racially disproportionate policing does not continue under the new state law, especially in those parts of the state where the track record is so abysmal.”

It is widely believed that such research findings give cannabis industry players like Round Meadow Holdings Corp. and Green Growth Brands Inc. (CSE: GGB) (OTCQB: GGBXF) added impetus to continue advocacy efforts aimed at ensuring that the enforcement of existing laws isn’t tilted against some communities.

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420 with CNW – Supreme Court Grants Mexico Legislature a Marijuana Legalization Deadline Extension

Aside from grinding most economies to a halt, the Coronavirus pandemic has severely impacted drug legalization campaigns all over the world. The scene in Mexico wasn’t much different. Legislators had been working on marijuana legalization when efforts to curb the spread of the virus made it impossible for them to complete the bill by the original April 2020 deadline.

However, the Mexican Supreme Court has granted a request to extend the deadline for marijuana legalization. This isn’t the first roadblock the legalization bill has run into. It all started when a precedent-setting ruling by the Supreme Court in 2018 deemed the country’s ban on marijuana unconstitutional.

Mexico’s Congress was granted 90 days to repeal its marijuana laws, but it became apparent that the lawmakers wouldn’t be able to make the October 2019 deadline. With lawmakers unable to find a consensus on aspects of the bill, Senate leaders requested an extension. The court approved the request, stating that the circumstances were exceptional and unique and that it took into account the ‘complexity of the matter.’

Unfortunately, the Coronavirus came along and disrupted life as we know it. With most legislative activities put on hold, the chances of the Bill being completed in time became slim. With the new deadline extension, lawmakers will have until December 15, the end of the next legislative session to tackle the marijuana legalization bill.

Despite not being completed, the bill has gone through a lot of work. In early March, Mexican senators circulated a draft bill that contained a series of proposed regulations for a legal marijuana model. Adults 18 years and older would be allowed to possess and cultivate marijuana for personal use.

An individual would be permitted to grow up to 20 registered plants as long as the total yield isn’t more than 480 grams per year. Medical marijuana patients, however, would be allowed to grow more than 20 plants. The bill would also cap personal possession at 28 grams and decriminalize possession of up to 200 grams.

It would establish the Mexican Institute of Regulation and Control of Cannabis, a decentralized body that would be responsible for regulating the market and issuing licenses to marijuana businesses. Cannabis sales would be taxed at 12% and some of the tax revenue would go toward a substance misuse treatment fund.

Additionally, public consumption would be permitted as long as the space isn’t designated as 100% smoke-free.

Experts think the news of the deadline extension didn’t come as a surprise to the cannabis industry, including companies like Green Growth Brands Inc. (CSE: GGB) (OTCQB: GGBXF), which saw the disruptions of the current pandemic as far-reaching.

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420 with CNW – Coronavirus Outbreak Casts Doubt on Cannabis Legalization Plans in Mexico

The Coronavirus pandemic has without a doubt thrown the world into a panic and confusion not seen since the Spanish flu. With over 2 million people infected worldwide and more than 100,000 lives lost, the situation is clearly dire, and governments across the globe have been scrambling to prevent a global catastrophe. This has mainly consisted of passing measures to encourage social distancing and self-isolation.

In the U.S., cannabis has been deemed essential by most states with legal marijuana programs, thus allowing the industry to keep operating during the lockdown. However, the pandemic has led to the cancellation of global cannabis trade shows, as well as putting a damper on various marijuana legalization campaigns.

The industry recently received another blow after the Mexico Senate decided to postpone most legislative activity, casting serious doubt on the future of marijuana. Late last year, the Supreme Court gave the legislature six months to approve legislation that legalizes all forms of cannabis, and those six months expire on April 30. Now, with most legislative activity shut down, many wonder whether the bill will be approved in time.

This postponement is part of the second phase of contingency measures to help fight the Coronavirus pandemic.

Although three senate commissions acting in unison approved a legalization bill earlier this month, the document would still need to go through the Senate plenary and the Chamber of Deputies before being signed into law by the president. If approved, the bill would launch one of the world’s largest adult-use programs by population, and it would legalize recreational marijuana as well as cannabis for medical and industrial hemp use.

The bill would have made it legal for adults to possess up to 200 grams of marijuana and it would allow home cultivation with certain limits. It also contains restrictions on foreign investment and vertical and horizontal integration to allow domestic, disadvantaged communities to reap the benefits of legalization. It could still see more modifications along the way, but the decision by the senate to reduce activity will undoubtedly play a role in how lawmakers will proceed.

And even if the bill is approved by the April 30 deadline, Mexico will have to wait years for a functional legal cannabis market. It would require the creation of a government cannabis regulatory institute that would have to draft regulations for the industry before it could begin accepting license and permit applications.

It would be interesting to hear what industry actors like Green Growth Brands Inc. (CSE: GGB) (OTCQB: GGBXF) think the ramifications of this delay will have on the cannabis industry on the sub-continent.

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420 with CNW – The FBI is Reviewing its Internal Policy on CBD

In December 2018, Congress passed the Farm Bill, a bill that legalized industrial hemp, a non-psychoactive variety of cannabis, after decades of prohibition. While the plant is insanely versatile, its main draw is cannabidiol, or CBD. Produced by industrial hemp in high quantities, CBD is a potent natural medicine with a plethora of uses.

However, most of the evidence of its medical abilities is anecdotal. So although consumers swear by its abilities, the science doesn’t fully back them up yet. Given CBD’s ambiguous legal position and due to its connection to marijuana, several organizations have taken a tough stance against it. Still, the hemp extract has a thriving market, with experts saying the CBD industry may be worth $20 billion in 2024.

It seems things may have taken a positive turn for cannabidiol after the Federal Bureau of Investigation (FBI) stated during a Twitter Q&A that it is looking into changing its internal policy on CBD use by agents and employees. At the moment, the agency prohibits its workers from using marijuana, and applicants can be disqualified for consuming cannabis within the past three years.

During the Q&A session with the FBI’s Newark office, one individual wanted to know why the agency says ‘you cannot use marijuana within three years of applying, even with a medical card prescription,’ and the FBI stated that ‘the policy regarding CBD oil is currently under review.’

The agency’s former director James Comey had said back in 2014 that he wished to loosen the FBI’s marijuana employment policies as potential skilled workers were being passed over. “I have to hire a great work force to compete with those cyber criminals and some of those kids want to smoke weed on the way to the interview,” he explained.

“What I like about what’s going on in the U.S. is we call the states the laboratories of democracy, and allow the people to experiment, experiment is the wrong word, but to make choices, to try and figure out the best ways not to criminalize behavior that people want to engage in, but also not to reward behavior that might hurt especially young people,” he added, referring to marijuana legalization in different states.

The FBI isn’t the only agency grappling with CBD use among employees. The Department of Transportation took a more positive stance, stating in a notice that it would not be testing drivers for CBD. However, others haven’t been as kind. NASA, the Air Force, the Navy and the Department of Defense have made it clear that CBD is off limits.

Experts say sector players like Green Growth Brands Inc. (CSE: GGB) (OTCQB: GGBXF) are unlikely to draw much from the response given during a Q&A session until an actual policy revision is made and published.

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CannabisNewsBreaks – Green Growth Brands Inc. (CSE: GGB) (OTCQB: GGBXF) Announces Receipt of Notices of Default from MXY Holdings LLC

Green Growth Brands (CSE: GGB) (OTCQB: GGBXF) today announced its receipt of a notice of default from MXY Holdings LLC (“Moxie”) related to a US$5,000,000 note for which it provided a guaranty as a condition to Moxie extending the loan to GGB Beauty LLC on July 8, 2019. According to the update, the note had a January 31, 2020, maturity date and the parties were unable to reach agreement as to an extension. In conjunction, the company also received notice that its obligations with respect to the previously announced US$4,000,000 termination fee owed to Moxie would also be accelerated and deemed immediately due and payable. Green Growth Brands is reviewing the notices and will continue working with Moxie to reach resolution on a restructuring solution as to both the note and the termination fee.

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About Green Growth Brands Inc.

Green Growth Brands creates remarkable experiences in cannabis. The company’s brands include CAMP, The+Source, and 8 Fold. GGB is expanding its cannabis operations throughout the U.S., via dispensaries in Nevada, Massachusetts and Florida. For more information, visit the company’s website at www.GreenGrowthBrands.com.

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420 with CNW – How Cannabis Retailers Can Protect Themselves and Their Clients Amidst COVID-19

To reduce the spread of the Coronavirus, most governments have implemented lockdowns of varying degrees. People are encouraged to stay indoors unless they absolutely have to, public gatherings have been banned and all but the most essential businesses have been shut down for the time being. Essential businesses include supermarkets and grocery stores, pharmacies, and daycare centers.

To the delight of the patients and over 200,000 employees who rely on the industry, the cannabis industry has been deemed essential by a number of states. Cannabis is quite effective against stress, anxiety, and depression, after all. On top of that, a large portion of medical marijuana patients are senior citizens with underlying health issues, and it would be unwise to deprive them of their medication during such trying times.

According to Sabrina Fendrick, Chief Public Affairs Officer at the Berkeley Patients Group cannabis store, adaptability is a core trait in cannabis. And adaptability will be key for any cannabis business hoping to weather this storm.

Preventing congestion in your store ought to be your first move. The virus is transmitted when an infected person coughs or sneezes, and recent research suggests that simply breathing could do the trick. States like Colorado have okayed curbside pickups, where the customer stays in their vehicle and the employee comes out to transact with them. If you can afford it and have the infrastructure in place, home deliveries are also a great alternative.

Online purchases will also limit long lines. For instance, Mission Illinois, a Chicago-based store has switched to hourly reservation windows, and customers get a text informing them when it’s time to pick up their cannabis. According to Mission Illinois’ operator Kris Krane, the reservation system serves just as many customers, but with far fewer people gathering outside.

Ensuring employee safety is crucial too since half measures will absolutely not work against the virus. If possible, encourage them to work at home, and scale down the number to the most essential. At your brick and mortar location, keep them six feet apart as much as possible, and make sure there is good ventilation.

As Debby Goldsberry, operator of the Magnolia dispensary in Oakland, CA says, “No staffer shaking hands, hugging or bumping fists right now. If you do, follow hand cleaning procedures.”

Good hygiene is the best way to prevent new infections. And since patients seem healthy for a short period while still transmitting the virus, employees who are at the store need to be especially meticulous. Wash your hands with soap and water thoroughly or disinfect them with hand sanitizer and avoid touching your face.

At Mission Illinois, staff wear latex gloves and they disinfect surfaces on the hour and each night. Face masks are encouraged too since we’re still learning about the virus and it’s better to err on the side of caution. As the CDC has said, anything is better than nothing.

Experts believe that marijuana industry actors, such as Green Growth Brands Inc. (CSE: GGB) (OTCQB: GGBXF), are not taking any chances in this fight to keep employees and customers safe during this COVID-19 storm.

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CBDNewsBreaks – Green Growth Brands Inc. (CSE: GGB) (OTCQB: GGBXF) Announces Consent to Receivership Appointment for CBD Business, Continuation of Cannabis Business in FL, MA and NV

Green Growth Brands (CSE: GGB) (OTCQB: GGBXF) today announced that a special committee of the Board of Directors has concluded the previously announced strategic review process related to the company’s cannabidiol (“CBD”) business. As a result, Green Growth Brands has determined that appointment of a receiver is in the best interest of the company and the creditors of the CBD business. The CBD business is operated by six of the company’s subsidiaries: Green Growth Brands LLC, GGB Beauty LLC, GGB Licenses LLC, Green Growth Brands Realty LLC, GGB Kiosks LLC, and GGB GN LLC, each of which will be subject to the receivership order. The company will continue to operate its cannabis business in Florida, Massachusetts, and Nevada (the “MSO Business”) through its subsidiaries Nevada Organic Remedies LLC (“NOR”), Henderson Organic Remedies LLC (“Henderson”), Wellness Orchards of Nevada LLC, Just Healthy LLC, and Spring Oaks Greenhouses Inc. (collectively, the “MSO Subsidiaries”). NOR and Henderson, which operate the company’s The+Source dispensaries in the Las Vegas, Nevada region, have recently commenced delivery service in response to Nevada Governor Stephen Sisolak’s March 20, 2020 order limiting dispensary operations in the state. None of the MSO subsidiaries nor any of their respective assets will be subject to the receivership order.

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420 with CNW – Allow Patients to Grow Their Own Medical Marijuana, N.J. Advocates Say

2020 has so far been anything but easy. The year began as the Coronavirus tore through Asia, and in three months it has spread to all continents except Antarctica, infected over 700,000 people worldwide and left at least 40,000 dead. Most of us have never seen anything like this, and experts say that the virus may affect up to 70% of the world’s population before it runs its course.

Naturally, state and national governments have taken steps to curb the spread of the virus. Since it is transmitted through droplets when an infected person coughs or sneezes, social distancing and self-isolation work best. People have been encouraged to stay indoors and only leave when they absolutely have to. All but the most essential businesses have also been ordered to shut down for the meantime as the world grapples with the pandemic.

However, several states have recognized that marijuana is essential, and have taken steps to ensure medical marijuana patients still get their medicine. These include online purchases, home deliveries and curbside pickups.

On Wednesday, the NJ Cannabis Insider hosted a webinar, and three of the state’s well-known cannabis industry leaders discussed the current situation and how to cater to medical marijuana patients. One of the ideas was allowing patients to grow their own medical marijuana, and how it would benefit them in these trying times.

The state’s original medical marijuana law has a provision letting patients grow up to six plants at home, but it was removed to improve the legislation’s chances at the ballot. Industry leaders say such a provision would now be a great help to medical marijuana patients.

“I talk to a lot of folks in the industry. A lot of people think that the industry is fighting this. I have not heard one credible source in the cannabis industry that is opposed,” says Bill Caruso, a founding member of New Jersey United for Marijuana Reform.

He states that the reservations elected officials have about home cultivation are valid due to the prospect of rogue growers feeding the black market with unregulated products. “But if we’re talking about allowing a patient to grow their own strain or something of that effect, I do think that there is an appetite for that.”

Jackie Cornell, Chief of Policy and Health Innovation for 1906, an edibles company, suggests that advocates needed to keep ‘the constant drumbeat of the patients’ needs and patients’ rights.’

“With everybody stuck at home, it’s a great opportunity for reaching out to your Senator, to your Assemblymember, to your mayor and your elected officials.”

It would be interesting to hear what industry players like Round Meadow Holdings Corp. and Green Growth Brands Inc. (CSE: GGB) (OTCQB: GGBXF) have to say about this tricky scenario of tweaking marijuana policy in a way that wasn’t included in the enabling law.

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420 with CNW – Oklahoma Medical Marijuana Businesses Start Feeling the Pinch of Coronavirus

Medical marijuana businesses in Oklahoma have been left in a lurch after finding out they don’t have access to disaster relief funds to help cushion them from the Coronavirus’ economic fallout. And as more regions go into lockdowns to curb the spread of the disease, they have started feeling the pinch of reduced demand and sales.

Dubbed COVID-19, the virus first appeared in Wuhan, China late last year. A few months later, more than 400,000 have been infected and at least 20,000 have been left dead in its wake. It is a pandemic like we’ve never seen before, and experts say up to 70% of the world’s population may end up infected by the virus.

To prevent its spread, countries all over the world have started going into lockdowns, shutting down all but the most essential businesses and instructing residents to stay indoors and leave for only the most pressing reasons. While this will ultimately curb the spread of the Coronavirus, it has had adverse effects on the economy.

To help keep businesses from going under, the government has prepared a disaster relief fund, and through the federal Small Business Administration (SBA), it will disperse these monies to eligible businesses. Sadly, marijuana businesses don’t fall within this category.

John Koumbis, for instance, runs JKJ Processing, a company dedicated to making medical marijuana edibles, and he feels like his business and his patients’ quality of life are hanging in the balance. “Senior citizens, military, people with PTSD, high anxiety, how are we going to take their medicine to them?”

This is especially worrying as Oklahoma doesn’t allow the delivery of marijuana within its borders. “I’ve made 11 calls to the OMMA and the legislature, and I’m not getting any response,” he says, adding that if the state goes into lockdown, his business and others like it aren’t going to get anything.

Daniel Carnes, owner of Mary Jane dispensary in Moore is also worried as he has received little guidance from the authorities. However, like all other businesses, they have to comply with the Coronavirus related measures set forth by the state, and this will undoubtedly have a negative effect.

“At this time, I have not received any type of a memo or notification, other than much like other businesses to follow the protocols set forth by the governor,” he says.

To the governor, he says, “You’re leaving 270,000, more than quarter-million people in your state unattended to, and without any type of answers and no idea of what the future may hold.”

Experts say that the message about the 270,000 patients whose wellbeing hangs in the balance in Oklahoma is exactly similar to what other cannabis industry players, such as Green Growth Brands Inc. (CSE: GGB) (OTCQB: GGBXF), are all concerned about wherever they have clients.

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