Post date: 4/22/2019

California’s Biggest Marijuana Growers May be out of Business for Violating Local Codes

One of the leading marijuana growers in California was required to shut down their growing facility after being summoned by the state. According to recent news, CFAM Management Group may go out of business due to violating some of the local codes while growing and manufacturing cannabis and related products.

Since legalization the California government has become more conscious regarding the laws and rules in the marijuana industry. As California lawmakers have almost legalized Marijuana in the medicinal sector, the authority is now extra careful towards taking steps against the rules and  violators for cases of unlicensed businesses in the state.

CFAM Management Group: The Company:

CFAM Management Group was founded in 2016 in Nipomo, California. The company was set up on 333,000 square-feet of land. The group comprises of marijuana cultivation, nursery, processing & drying lab and tissue culture laboratory. The turnover of the company is roughly noted between $2-3 million with nearly 75 employees on the farm.

Code Violation:

  •    According to reports, CFAM has tried processing a few products using cannabis for which the site was not permitted.
  •    The second allegation against the company is spreading marijuana processing odor throughout the area including some of the houses situated nearby.
  •    Also, the company is said to have some structural integrity issues within the premise which are not up to code, rather unauthorized.

Current Situation:

The future of the company is still not certain at this moment. CFAM was growing and processing cannabis for a long time and has become the largest cannabis cultivators in California within no significant time. However, as the governing body votes for permits for CFAM, for now they will have to cease all operations under the company title as soon as possible.

According to reports in The Tribune, after Marijuana Ordinance, released in California, CFAM has needed to cut down their business/cultivation by almost 85-90%.

The Food & Agriculture Department is following the guidance of current codes that are said to be violated by the company. On the other, the attorneys, representing the company said they are trying to address issues that lead to cancellation of the license forever.

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