TORONTO–(BUSINESS WIRE)–Thornton Grout Finnigan LLP (“TGF”), a Toronto based law firm, announces that it is investigating potential securities claims on behalf of shareholders of CannTrust Holdings Inc. (TSX: TRST) in relation to allegations that CannTrust may have issued materially misleading information to the investing public.
CannTrust announced yesterday that it received a compliance report from Health Canada that found the Company to be non-complaint with certain regulations because of the growing of cannabis in five unlicensed rooms (from October 2018 to March 2019) at the Company’s greenhouse facility in Pelham, Ontario, and inaccurate information that was provided to the regulator by CannTrust employees.
Health Canada has placed a hold on inventory which includes approximately 5,200kg of dried cannabis that was harvested in the previously unlicensed rooms in Pelham, until it deems that the Company is compliant with regulations. CannTrust has instituted a voluntary hold of approximately 7,500kg of dried cannabis equivalent at its Vaughan manufacturing facility that was produced in the previously unlicensed rooms.
CannTrust’s share price dropped by over 20 percent on heavy trading following the announcement.
TGF is investigating a class action lawsuit on behalf of CannTrust investors across Canada to recover losses caused by this disclosure. If you purchased shares of CannTrust please contact Gail Oxtoby at firstname.lastname@example.org or 416.304.7973.
TGF is a leading Canadian boutique law firm. For more information visit www.tgf.ca.