A Vancouver-based law firm says it has filed a proposed securities class-action lawsuit on behalf of anyone who acquired shares in a B.C. company that recently announced plans to commercialize cocaine.
Adastra Labs CEO Michael Forbes released a statement on Feb. 22 saying the company would 91裸聊视频渆valuate how the commercialization of (cocaine) fits91裸聊视频� with the firm91裸聊视频檚 business model.
The company revised the statement on March 3 after both Premier David Eby and Prime Minister Justin Trudeau expressed astonishment about those plans, which stemmed from Adastra91裸聊视频檚 mid-February licence amendment to produce, sell and distribute cocaine.
Health Canada confirmed the amendment allows Adastra to produce no more than 250 grams of cocaine in 2023, and none can be sold to the general public.
The lawsuit, which contains allegations that have not been proven in court, contends Adastra and Forbes violated the B.C. Securities Act by making 91裸聊视频渋naccurate public representations91裸聊视频� that artificially boosted the company91裸聊视频檚 stock price.
Adastra shares, valued at 75 cents on Feb. 22, peaked at $1.33 on March 3 before tumbling to a low of 42 cents on March 8 and the proposed class action is on behalf of those who acquired Adastra common shares between Feb. 22 and March 3.
Saro Turner, a partner at Slater Vecchio LLP, the firm behind the proposed class action, says investors deserve compensation.
91裸聊视频淲hen companies make misrepresentations like this, it91裸聊视频檚 usually the investors who trusted them that get hurt the most,91裸聊视频� Turner says in the statement.
On the same day Adastra retracted its commercialization statement, Eby said he had spoken to the federal government and was 91裸聊视频渇urther disturbed91裸聊视频� to hear from Health Canada that Adastra may have 91裸聊视频渟ignificantly misrepresented the nature of the licence91裸聊视频� in an irresponsible manner.
Health Canada said it had contacted the company to 91裸聊视频渞eiterate the very narrow parameters of their licence,91裸聊视频� and warned it could take action, including revoking the licence, if strict federal requirements were not followed.
