Feds Say Flashy Cannabis Execs Used a Phony CEO, Blew Investors’ Cash
A pair of cannabis industry executives defrauded investors of at least $4 million, according to a federal grand jury indictment unsealed Tuesday, which claims the two trotted out a phony CEO who didn’t actually make any business decisions, manipulated the company’s stock price for their own benefit, fraudulently inflated the firm’s financials, and blew a six-figure sum on a luxury vehicle rather than the IPO roadshow for which it was originally intended.