New Jersey cannabis regulator revokes Molotium license and approves multiple penalties, including $125,000 for Brute's Roots

The New Jersey Cannabis Regulatory Commission on July 15 voted to revoke the cultivation and manufacturing licenses of Molotium after staff said the company conducted unapproved cultivation, transported untagged marijuana and failed to correct numerous regulatory violations.

Director Toisan told commissioners staff had cited Molotium for roughly 19 statutory and regulatory violations and recommended revocation. Director Riggs told the board the company “no longer can be in this market. Their license should be revoked,” and the commission adopted the revocation in a roll-call vote; Commissioner Mapp recused herself from the matter, and Commissioners Kennedy, Nash, Ferraro and Chair Laufer voted in favor.

The commission also approved enforcement actions and monetary penalties for multiple other licensees after staff presentations outlining notices of violation and proposed assessments. The board approved: a total $125,000 assessment for Brute's Roots for a string of violations including misleading labeling, missing poison-control warnings, exceeding the 100 mg THC-per-package limit and record-keeping failures; a $15,000 penalty for Prolific Grow House for advertising and audience-targeting violations; a $12,500 assessment for Cureleaf for failures in stability testing and incorrect expiration dates; a $25,000 fine for Hashieri LLC for operating as an impermissible retail food establishment at a dispensary; a $15,000 assessment for Bango New Jersey Inc. for inventory-tracking failures; and a $5,000 penalty for Silver Leaf Wellness for effecting an ownership change before board approval.

Chair Laufer framed the actions as necessary to protect public safety and the integrity of the regulated market. "We have a suite of violations coming up today," Laufer said during the meeting, and urged licensees to heed compliance advice to avoid preventable violations.

The commission heard each enforcement presentation in public session following an earlier executive-session discussion of some matters and voted on each recommended sanction. Several commissioners praised the Office of Compliance and Investigations for its work in developing the cases that led to the actions.

With the Molotium revocation and the series of fines, the commission signaled increased enforcement activity as it shifts toward oversight and compliance enforcement while continuing licensing and marketplace oversight work.