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Health Canada: 2nd CannTrust Site Non-Compliant

Stockhouse Editorial
1 Comment| August 12, 2019

It’s the second blow for cannabis company CannTrust Holdings Inc. (TSX:TRST, NYSE: CTST).

It saw its share price tumble by more than a quarter in premarket trading on Monday after Health Canada reported another one of its facilities was “non-compliant with certain regulations.”

CannTrust’s problems began in July 2019 when it was forced to suspend its product sales of several tonnes of cannabis after investigators found out the company was growing plants in unlicensed greenhouses at its facility in Pelham, Ontario. A formal investigation was launched, and its CEO and chairman of the board were both fired … but the drama doesn’t end there.

TRST admitted in a statement that Health Canada has also flagged its Vaughn, Ontario facility for violating regulations. These violations include improper cannabis storage procedures, substandard quality assurance, neglecting to retain documents and inadequate security protocols.

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August 14, 2019

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