Cannabis Company Sues Julio Jones for Alleged Fraud & More

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USA Today reported that Tennessee Titans wide receiver Julio Jones is now being sued by a cannabis company. The company alleges that Jones committed fraud and money laundering, according to court documents The Tennessean acquired late Tuesday night.

The California-based cannabusiness Genetixs filed its lawsuit against Jones on July 21 in Los Angeles County Superior Court with Jones, along with his former Atlanta Falcons teammate Roddy White and White’s company, SLW Holdings, as the defendants.

The suit claims that the defendants illegally managed and operated Genetixs’ facility and have not reported cannabis sales since March 2021, raising some significant compliance concerns. The company estimates that around $3 million worth of cannabis was harvested and illegally sold each month since that time.

Jones and White now stand accused of colluding with John Van Beek and his son, Shaun Van Beek, to operate a black-market cannabis grow through the Genetixs facility. The pair had invested in the conmpany through White’s SLW Holdings, according to the documents.

Genetixs hired John Van Beek in March 2020 to manage and operate the company’s leased facility in Desert Hot Springs, California. Beek is accused of breaching his contract, failing to report cannabis sales, and not giving budgets, invoices, expenditures, and other paperwork to Genetixs.

After a state inspection of the facility revealed various violations, John Van Beek was terminated in March 2021.

According to the complaint, the Van Beeks allegedly disabled cameras at the facility throughout the operation and did not allow a new manager to enter at one point.

Without approval from Genetixs, the defendants allegedly abandoned the facility and surrendered the premises to the landlord. The documentation claims they “looted, removed, andmisappropiated Genetixs’ cannabis” from 22 harvests and damaged equipment, machinery, and other valuables. All in all, this property is worth millions of dollars.

The defendants in this case are being sued on the following grounds:

  • Conspiracy to defraud
  • Conversion
  • Breach of fiduciary duty
  • Aiding and abetting breach of fiduciary duty and fraud
  • Breach of member’s duty of good faith and fair dealing
  • Unjust enrichment
  • Accounting
  • Declaratory relief
  • Civil conspiracy to defraud
  • Injunctive relief
Author:
Louis Levey is the Content Success Manager and Founder at No Strings Content. He's passionate about helping cannabis businesses use content to attract, educate, and convert audiences. His hometown is Boca Raton, Florida, but he currently lives and works remotely in Chiang Mai, Thailand.

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