Weedmaps Advertising Illicit Marijuana Retailers & Products, Complaints Claim
According to Marijuana Business Daily and complaints filed with state and federal regulators, the cannabis advertising company Weedmaps is currently listing unlicensed and illegal cannabis retailers and products in Cali.
The complaints were filed in June and May in June and May with the California Department of Cannabis Control (DCC) as well as the U.S. Securities and Exchange Commission (SEC), claiming that Weedmaps the company’s leadership is “allowing vast amounts of black market activity through their website, and they know about it but won’t do anything about it.”
This, according to the complaint, “black market activity” is directly affecting licensed and legitimate firms, the complaints claim, as it gives underground companies an advantage through Weedmaps advertising platform.
The complaint claimed that it also undermines the legal market Weedmaps intends to provide.
If the regulators decide the allegations are valid, Weedmaps could face hefty fines; experts in the industry said that it would be noteworthy for being one of the most well-known U.S. cannabis companies that trade on major stock exchanges.