Health Canada has suspended CannTrust Holdings Inc.’s licence to produce and sell cannabis, the embattled Vaughn, Ont.-based company announced Tuesday afternoon.
According to a press release, CannTrust received a notice for Health Canada that its licences for “standard processing, medical sales, cannabis drugs and research issued under the Cannabis regulations” were fully suspended, while its licence for standard cultivation is under partial suspension. CannTrust will now be barred from growing new lots or batches of cannabis and from selling or distributing any products. The company will, however, still be able to “cultivate and harvest existing lots of batches” as well as trim, mill and dry that product.
The suspensions are the result of the health authority determining that CannTrust was growing illicit cannabis in multiple unlicensed rooms at its Pelham, Ont., greenhouse. Since the initial announcement in July, the company has broadly shuffled its leadership and seen its stock slashed by more than 70 per cent.
More to come.