The Nevada Cannabis Compliance Board filed four complaints against marijuana companies on Tuesday, including one that seeks to revoke licenses for a Reno dispensary operated by Kynd-Strains LLC. This action signals the board's aggressive enforcement since assuming oversight of the industry in July. Penalties could exceed $200,000 across the cases, with license losses barring affected firms from reapplying for years.
Mynt Dispensary Faces License Revocation Over Tracking and Security Lapses
A routine inspection at a Mynt dispensary in Reno uncovered failures to use the state's seed-to-sale tracking system properly, with eight product line inventories mismatched. Inspectors also found no camera malfunction log, missing documentation for a required semi-annual security audit, and an employee working without a valid agency card. The board's legal counsel recommends revoking both medical and recreational licenses, plus $19,000 in fines, and a five-year ban on new applications for the company.
Fidelis Holdings Accused of Deception and Prohibited Practices
Regulators seek to strip Fidelis Holdings LLC of its cultivation license for allegedly lying about using a banned pesticide machine and a radiation device to treat marijuana without registration. A 2019 tip from a former employee prompted the probe; during an unannounced visit, investigators discovered the hidden pesticide machine despite denials from management. Employees contradicted the manager, confirming weekly marijuana treatments, backed by a log showing 27 uses, alongside untagged products violating tracking rules. Proposed penalties include a 10-year reapplication ban and $65,000 in fines.
Lesser Penalties for Storage and Waste Violations
Blossom Group faces a 30-day suspension of its production and cultivation licenses plus $74,000 in penalties for unlabeled products, improper storage—including marijuana in a freezer with employee food—and lacking certified pest inspectors. NV Green, a medical marijuana producer and cultivator, could pay about $45,000 for failing to dispose of waste correctly and maintain required security footage. Neither faces revocation.
Escalating Enforcement Reshapes Nevada's Marijuana Market
These complaints follow the board's revocation last month of over a dozen licenses from major player CWNevada, including its dispensaries. Nevada's seed-to-sale system ensures traceability from cultivation to sale, preventing diversion to illicit markets and verifying product safety amid legalization. Violations erode public trust and expose consumers to risks like contamination or untracked potency. Companies can request hearings to contest charges, but the board's actions underscore a shift toward stricter compliance, potentially consolidating the market under fewer, more accountable operators.
