The Green Room Settlement Agreement with the New Mexico Cannabis Control Division

The New Mexico Cannabis Control Division (CCD) has reached a settlement agreement with The Green Room, a licensed cannabis business, following an investigation that revealed multiple violations. The Division conducted a compliance inspection and determined that the company had violated various rules under the Cannabis Regulation Act (CRA) and the New Mexico Administrative Code (NMAC).

Key Violations and Allegations:

  1. Improper Track and Trace Recordkeeping: The company failed to maintain accurate sales records and denied access to a vault.

  2. Failure to Present Required Operating Procedures: The Green Room did not provide the necessary standard operating procedures during the inspection.

Settlement Terms:

  • Fines: The Green Room agreed to pay a fine of $4,000 for the four violations.

  • Product Waste: Five bags of untracked and unlabeled cannabis product must be wasted within seven days, with the process documented via video surveillance.

  • License Revocation: The company's license, CCD-MICB-2022-0177, is revoked effective fourteen days from the execution of the agreement.

  • Transfer of Product: The company is permitted to transfer remaining cannabis products to a licensed manufacturer, provided proper documentation is maintained.

Conditions for Compliance:

  • The company must comply with all settlement terms to avoid further disciplinary action.

  • Failure to adhere to the agreement could result in additional fines, suspension, or revocation of the company's license.

Binding Agreement:

  • This settlement is binding upon signature by both parties and does not set a precedent for other cases.

  • The agreement will be effective upon signing by the Division Director or designee and will close the matter unless future violations occur.

This agreement underscores the CCD's commitment to enforcing regulatory compliance within the cannabis industry, ensuring that businesses adhere to established standards to maintain their licenses.

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