MEDMEN CREDITORS SUE TO SEIZE EXECUTIVES' HOMES | TRICHOMES Morning Buzz
April 20, 2020
The Morning Buzz presented by TRICHOMES brings you late-breaking news that tells you what’s happening within the cannabis industry.
**Happy 420, for everyone except MedMen’s executive team apparently, we have some exciting science research coming out of Italy to share, and are we about to see a canna-congress? Could be. It’s Monday, April 20th and this is your TRICHOMES Morning Buzz.
** MedMen creditor is seeking to seize the homes of the cannabis firm’s former executives
According to MjBiz Daily, A MedMen Enterprises creditor is claiming in a civil lawsuit that three men with ties to the California-based cannabis company – including former CEO Adam Bierman and ex-President Andrew Modlin – owe the deeds to their personal homes as part of an investment guaranty from late 2019.
Alaska-based Milestone Investments filed the suit against MedMen Chief Strategy Officer Christopher Ganan, Bierman, and Modlin in California Superior Court in the County of Los Angeles.
Bierman and Modlin stepped down from their leadership posts in January, but Bierman remains a member of the board of directors and Modlin is now the company’s Chief Brand Officer, according to the company’s website.
Milestone alleges that, as part of an investment deal in December 2019, the three agreed to enter into a “pledge of their personal residences in the form of a mortgage or deed of trust” as collateral for Milestone’s purchase of 23.7 million shares of MedMen stock for just under $10.2 million.
The creditor also loaned the group an additional $2 million, which they were reportedly going to use to purchase another 4.6 million MedMen shares.
But, the suit alleges, Bierman and Modlin failed to live up to their end of the arrangement, though Ganan provided a deed of trust in February for his Los Angeles home. The company sent notices of default on the guaranty to all three in March.
“In the days and weeks following defendants’ execution of the guaranty, Milestone repeatedly asked defendants to provide deeds of trust to their personal residences as required,” the suit noted. “Defendants did not comply.”
** Could cannabis help treat diabetes? A small but growing body of research suggests that certain cannabinoids may hold promise.
Leafly reports, The newest addition to the scientific literature comes from the Institute of Biomolecular Chemistry in Italy. In a study published in the journal Molecules, researchers there found that cannabimovone (or CBM), a rare cannabinoid, can sensitize cells to insulin. CBM thus joins CBD, THC, THCV, and THCA as a potentially promising avenue of research for diabetes prevention.
Researchers have also associated cannabis use with lower levels of insulin resistance, which is great news for stoners at risk for diabetes. There have been many studies trying to break down exactly what cannabinoids have a positive impact on diabetes and how.
Cannabimovone (CBM) is a rare cannabinoid first isolated from a variety of Italian hemp in 2010. While CBM is rare in most strains of the plant, researchers have had little trouble synthesizing the molecule in the lab.
The Italian researchers were interested in THC and CBD’s insulin-sensitizing effects and wondered if there were any other cannabinoids that might do the same with fewer side effects. Using computer modeling, they searched their cannabinoid database, and there it was: CBM fit into the model.
There’s a long way to go before CBM becomes a treatment for diabetes, if it proves to be safe and effective. CBM hasn’t even been tested in lab animals yet, let alone humans. But the Italian study sheds a little more light on the potential uses of rare cannabinoids we’re just beginning to discover and understand.
** Candidates for congress openly grow and smoke cannabis to deal with pandemic
Marijuana Moment reports, if congressional candidate Amanda Siebe is any indication, the next class of Congress could be the most transparently pro-cannabis in history, embracing not just legislative reform but also the culture of cannabis as consumers and patients.
The Democratic candidate, who is running for a House seat in Oregon, has spent part of her time in coronavirus-imposed social isolation this month openly talking on Twitter about consuming and cultivating cannabis herself.
Gone are the days of “I didn’t inhale” politics, apparently. Here are the days of people running for federal office while posting pictures of themselves smoking joints and growing cannabis plants.
In a phone interview with Marijuana Moment on Thursday, the candidate said the issue of cannabis reform is personal to her, as she relies on medical cannabis to treat symptoms of complex regional pain syndrome.
“For me, it’s part of my everyday life. It’s not just what I do, it treats my medical condition. Without cannabis, I don’t have any quality of life,” she said. “I’m to the point where I’m done hiding it.