The Alcohol and Gaming Commission of Ontario (AGCO) has fined Cannabis Xpress, a cannabis retail chain that has a store in Wingham $200,000 for allegedly breaching anti-inducement laws.
These laws prohibit cannabis retailers from seeking or accepting inducements from producers.
AGCO's investigations revealed that Cannabis Xpress engaged in an "inducement program" through agreements like the "Data Services Program" with cannabis producers, granting preferential treatment to those involved. These actions were deemed illegal and in violation of provincial standards.
"For example, the licensee refused to stock an LPs (licensed producers) product unless they agreed to enter into prohibited inducement agreements and promoted the sale of cannabis products from producers who entered such inducement deals," a statement from the AGCO said. "It was found that the licensee attempted to disguise these illegal payments as agreements for the sale of data for business intelligence purposes, which are permissible under the Standards."
Cannabis Xpress can appeal this decision to the Licence Appeal Tribunal (LAT).
Cannabis Xpress has 16 stores across Ontario, including a location in Wingham.
