RE:RE:RE:Cause for concernNews Articles FYI:
'https://www.theglobeandmail.com/globe-investor/change-in-us-marijuana-policy-casts-uncertainty-over-canadian-industry/article37494459/'
'https://ca.reuters.com/article/topNews/idCAKBN1EU1YX-OCATP'
'https://mjbizdaily.com/report-sessions-rescind-cole-memo-creating-cloud-uncertainty-marijuana-businesses/'
The Cole Memo was a directive from the Attorney General James Cole to the DOJ to end prosecution on Marijuana charges in states that had legalized marijuana. Rescinding it, is actually a major issue from the legal stand point, it attacks: state rights, the tenth amendment and essentailly makes it illegal for states in the US to legalize Marijuana. The major concern for us is how it affects US - Canada relations. Essentially the Cole memorandum prevented the Indexes in Canada from clamping down on Canadian Marijuana companies that operated exclusively in the US. The reason companies were registering and raising funds in the Canadian markets to operate in the US was because its technically illegal to do so in the US. The TSX bought up the concern of legality in October which caused companies that use this model to shed 50% of thier value. With the Cole Memo being rescinded, the CSE which was a haven for these companies has also began to question the legality, if the DOJ pursues it, the CSE will drop them. Its an absolutely massive risk. I was speaking to brokers that work in with the Indexes, they sold everything and moved to marijuana companies that do Canada only, the companies that do Canada only got a major boost. I'll see what I can find to corroborate.