The provincial government’s cannabis retailer is returning about $2.9 million worth of products to CannTrust Holdings Inc.
The company says the products are being returned because they do not conform with the terms of its master cannabis supply agreement.
The decision comes after Health Canada discovered illegal growing operations at a CannTrust location in Pelham. An inspection revealed the company had been growing in non-licensed rooms at its greenhouse. The discovery later raised issues regarding a manufacturing facility in Vaughan, Ont.
Health Canada put a hold on approximately 5,200 kg of dried cannabis and CannTrust instituted a voluntary hold of approximately 7,500 kg of dried cannabis equivalent.
The company said it operates independently of Health Canada, which has not issued a recall of any of the company’s products.