CCD Issues Notice of Contemplated Action Against NNK Equity, LLC

The New Mexico Cannabis Control Division (CCD) is considering disciplinary action against NNK Equity, LLC (License No. CCD-VICE-2023-0070) for several regulatory violations. If these allegations are not rebutted or satisfactorily explained in a formal hearing, the CCD may revoke or suspend the company's license, impose fines, or take other disciplinary actions. The company has 20 days from the notice date to request a hearing or a settlement conference.

Applicable Violations

1. Lack of Posted Licenses On Site:

   • Rule: 16.8.2.8(I) NMAC

   • Description: License not displayed or available upon request at the premises.

2. Lack of Rights to Water Used for Cultivation:

   • Rule: 16.8.2.27(A)(2) NMAC

   • Description: No documentation of the right to use water for irrigation.

3. Lack of Required Camera Coverage:

   • Rule: 16.8.2.10 NMAC

   • Description: Insufficient camera coverage and lack of 30-day video storage.

4. Lack of Sanitation and Health Requirements:

   • Rule: 16.8.2.27(F)(2) and (4) NMAC

   • Description: Canines present among cannabis plants and no sanitation products or handwashing facilities.

5. Lack of Waste Disposal Procedures:

   • Rule: 16.8.2.27(F)(6) NMAC

   • Description: No written procedures for cannabis waste disposal.

6. Unsafe Storage of Combustible Waste:

   • Rule: 16.8.2.17 NMAC

   • Description: Unsafe storage conditions for gas containers and propane tanks.

7. Unsafe Storage of Chemicals:

   • Rule: 16.8.2.27(F)(13) NMAC

   • Description: Improper storage of corrosive chemicals near propane tanks.

8. Presence of Biological Hazards – Moldy Clones:

   • Rule: 16.8.2.27(F)(2) NMAC

   • Description: Transferred clones with visible mold growth.

9. Failure to Comply with Plant Transportation Requirements:

   • Rule: 16.8.2.27(F)(14) NMAC

   • Description: Improper transfer of cannabis plants without proper security and documentation.

10. Failure to Comply with Bio Track Tagging Requirements:

    • Rule: 16.8.7.14(B)(8) NMAC

    • Description: Cannabis products not tagged during cultivation stages.

11. Unlicensed Cultivation of Cannabis:

    • Rule: 16.8.2.8(X) & (Y)(5) NMAC

    • Description: Engaging in cultivation without necessary license approval.

Summary of Evidence

The evidence includes reports from the Department of State Police, photographic and video evidence, compliance reports, and testimonies from division employees.