Missouri cannabis regulators have revoked nine of the 48 social-equity cannabis licenses issued in October, after finding the companies that obtained them didn’t meet eligibility requirements.
Eight were dispensaries linked to out-of-state groups and one was a wholesale facility.
Among them is Canna Zoned, a Michigan company that secured two of the 16 dispensary cannabis licenses — in Columbia and Arnold. Both licenses were revoked.
State records show Canna Zoned was connected to 104 out of the 1,048 applications that were entered into a lottery selection for the dispensary licenses. An investigation by The Independent in October found applicants thought they were partnering with the Michigan investor but in reality signed agreements requiring them to relinquish all control and profits of the business.
Some Canna Zoned applicants were recruited through Craigslist ads from around the country.
Another company that used the strategy of flooding Missouri’s lottery with applications was an Arizona-based consulting firm called Cannabis Business Advisors. It was connected to more than 400 dispensary applicants, including six winners. All six of the group’s licenses were revoked.
According to the Division of Cannabis Regulation, the “purported majority owners” of the eight revoked licenses lacked knowledge of agreements or operations of
