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Canadian LP Organigram Unable to Find Pesticide Contamination Source


A federally regulated medical marijuana company caught selling products tainted with a banned pesticide that can cause debilitating health problems has been unable to determine how the chemical got into its supply, raising new questions about the oversight of the industry.

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Organigram Inc. said on Feb. 27 that it has wrapped up an internal investigation into a product recall announced in December, but has turned up “inconclusive findings” with “no hard evidence leading to the source of the contamination.”

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The company also said it would offer full refunds to customers who purchased the tainted product, after initially refusing over the past two months to give patients their money back. The refunds will cost $2.26-million, Organigram said, which represents a significant financial hit to company. The writedown is worth slightly more than the total sales reported by Organigram in its most recent quarter.

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