Pot cultivator fined for pesticides, records
FITCHBURG » Garden Remedies Inc., a marijuana cultivator and adult-use product manufacturer, was penalized by the state’s Cannabis Control Commission for its use of pesticides and falsifying documents.
During the commission’s monthly meeting on July 9, commissioners voted unanimously to impose a $200,000 fine against Garden Remedies for using pesticides and falsifying three documents to conceal their use.
Garden Remedies admitted to the violations, cooperated with the commission’s investigation, and agreed to a settlement, attorney Rebecca Lopez of the commission said.
“The licensee has accepted complete responsibility for the violations committed,” Lopez said.
Garden Remedies agreed to pay the fine, stop using pesticides not approved for cultivation use, and submit to a twoyear probationary period, according to Lopez.
The company also agreed to report any test results detecting pesticides at a level other than “non-detect” to the commission within 24 hours.
Dr. Karen Munkacy, president & CEO of Garden Remedies Inc., said the company instituted several reforms in the wake of the violations.
“Uncovering this issue had a dramatic effect on me and the
whole organization,” Munkacy said. “It emboldened me to make sweeping changes in our organization to ensure that Garden Remedies stands out as a model for regulatory compliance in Massachusetts.”
Garden Remedies also submitted a corrective action plan to the commission, which included terminating the employees involved and banning purchases from the vendor who supplied the prohibited substance.
Munkacy said the company also restructured its reporting relationships and implemented new training regimens.
“Taken as a whole, these actions demonstrate our commitment to regulatory compliance, transparency and professionalism,” she said. “The company and I will continue to strive to ensure that ethical and regulatory violations never again occur.”
On Jan. 11, 2019, a pesticide was found in one of the cultivation areas of the facility during a license inspection. Three days later, the commission issued a notice of deficiency to Garden Remedies, citing its noncompliant use of pesticides.
During the inspection, Commission inspector Michael Yee asked for financial records including bank statements, payroll, general ledger, financial statements and invoice documents.
Those documents were provided to the commission on Jan. 15, 2019.
Then, on April 20, 2019, an anonymous employee called the commission to report those records were fraudulent.
Munkacy said she was disappointed to learn the documents were falsified by the former employee, adding that the executive team had no knowledge of those actions.
The commission opened an investigation and concluded that the records had been falsified to conceal purchases of another pesticide.
“While the product we used is permitted to be used in cannabis cultivation in many other states and is not an externally applied pesticide that puts anyone in danger, it is not permitted in Massachusetts and the situation was mishandled,” Munkacy said.
She added that the company’s products are tested by a third party and none of those products have ever tested positive for pesticides. Munkacy said Garden Remedies is striving to be the model for a well-run cannabis company.
“We are very sorry this happened, but we have come out of this experience a better company,” she said.