Las Vegas-based marijuana multistate operator Planet 13 Holdings says it recovered one other $2.1 million in money plus actual property as a part of a dispute with a former banking companion it claims “embezzled cash from” its accounts.
Planet 13 mentioned in a information launch that it has been trying to claw again cash since final yr from El Capitan Advisors, an funding marketing consultant the MSO retained in 2021 “for money administration providers.”
In keeping with the New Mexico-headquartered Affiliation for Hashish Banking, El Capital Advisors emerged as a banking different for marijuana trade operators shut out from conventional monetary establishments as a result of the plant is unlawful on the federal stage.
Congress has not but handed banking protections such because the SAFER Banking Act regardless of years of attempting and widespread fashionable help.
In late 2023, Planet 13 seen “lacking funds and fraudulent financial institution statements” that led to a lawsuit accusing El Capitan of “misappropriating hundreds of thousands of {dollars}.”
In a separate dispute, Los Angeles-based funding agency Casa Verde Capital gained a $35 million judgment in opposition to El Capitan, which led to $5.5 million of Planet 13’s cash being frozen, starting in 2023.
That cash has since all been recovered, Planet 13 mentioned.
Along with a complete of $5.5 million in money, Planet 13 can also be buying actual property valued at $5 million that it plans to promote, in accordance with the discharge
Planet 13 continues to be pursuing a lawsuit “in opposition to El Capitan and (founder and CEO) Andrew Nash searching for roughly US$10.3 million,” the MSO famous in its launch.
El Capitan and Nash didn’t file a response to Planet 13’s criticism, resulting in a default judgement, in accordance with the discharge.
