April 01, 2020

In this article, Jenner & Block Partners Stephen L. Ascher, Martin C. Glass, Andrew J. Lichtman, Charles D. Riely and Howard S. Suskin explain that the US Securities and Exchange Commission is investigating one of the largest cannabis producers and distributors in the world for potential accounting irregularities.  “Although the SEC has devoted significant resources to root out offering fraud and market manipulation in marijuana-related penny stocks, this appears to be the SEC’s first publicly reported investigation into a major cannabis company,” the authors observe. They analyze the implications for marijuana-related businesses, or MRBs.