Health Canada Cracks Down on Dispensaries after MMPR


Thomas Mitchell

September 15th, 2015

Policy, Top News


Health Canada sent out cease-and-desist letters to 13 illegal marijuana dispensaries and compassion clubs across the country, saying that Canadian police could raid them if they don’t shut down immediately, according to Globe and Mail. The letter demanded that dispensaries stop all activity and submit a written statement confirming the shutdowns by September 21st, although they only targeted Vancouver and Victoria locations for now.

Health Canada’s Marijuana for Medical Purposes Regulations (“MMPR”) were designed to replace home growing, compassionate care clubs, and non-profit dispensaries with a limited number of corporate growers that would mail medicine to customers. The move is intended to improve the safety and reliability of cannabis, while enabling the government to crack down on illicit sales from black market participants to recreational users.

The threat suggests that the government is willing to intervene directly to shut down Canada’s storefront dispensaries – most of which are located in Vancouver and Victoria. In these areas, local governments permitted dispensaries to operate. Health Canada argues that the advertising and sale of marijuana directly contradicts two federal laws, although the department wouldn’t give any additional details right now.

Critics of Health Canada’s move point to Ms. Ambrose’s tough stance against medical marijuana, even as her department was forced to legalize it. Many of the non-profit dispensaries have been around for years and those running them seem to be largely willing to risk arrest to keep them open. The Vancouver police and BC RCMP have also been silent when asked about the letters, suggesting some tension may exist between federal and local forces.

The illegal dispensaries could face fines of up to $5 million or two years in prison, or both until Bill C-17 that passed into law last November.

This article was published by CFN Enterprises Inc. (OTCQB: CNFN), owner and operator of CFN Media, the industry’s leading agency and digital financial media network dedicated to the burgeoning CBD and legal cannabis industries. Call +1 (833) 420-CNFN for more information.

About Thomas Mitchell

Mr. Mitchell has over a decade of experience in the financial markets as both a private investor and financial journalist.


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