Maryland cannabis grower fined $17,500 for theft and reporting violations

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PharmCann, Inc., operating as PC Cultivator LLC, a licensed cannabis grower in Lothian, Maryland, has agreed to pay a $17,500 fine to the Maryland Cannabis Administration (MCA) for violations related to employee theft and reporting procedures, according to documents.

According to a consent order released by the MCA, PharmCann failed to properly report and investigate the theft of cannabis flower by a registered agent, identified as S.C. The incident, which occurred in September 2023, involved the agent taking approximately 168 grams of cannabis flower.

The MCA found that PharmCann violated several state regulations, including:

  • Failure to report the theft to the MCA and the Maryland State Police within one business day.
  • Providing misleading information to the MCA, stating the agent’s departure was for reasons other than theft or diversion.
  • Failure to accurately track and record the disposal of the stolen cannabis flower in the state’s seed-to-sale tracking system (METRC).
  • Deviations from their own standard operating procedures regarding security protocols and green waste disposal.
  • Failure to notify the MCA of the circumstances surrounding the agent’s termination.

The consent order, dated March 12, 2025, details that PharmCann’s security personnel observed the agent taking the cannabis flower and subsequently found the product in the agent’s locker. Despite internal documentation referring to the incident as “theft,” PharmCann later attempted to characterize it as a “misappropriation,” arguing that the product never left the facility.

The MCA concluded that PharmCann’s actions constituted multiple violations of the Maryland Cannabis Reform Act and related regulations. In addition to the $17,500 fine, the consent order stipulates that PharmCann must bear the costs of complying with the agreement.

PharmCann, through its legal counsel, has agreed to the terms of the consent order, waiving its right to a formal evidentiary hearing and appeal. The agreement is considered a public document.

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