Following the dismissal of CannTrust Holdings Inc. CEO, Peter Aceto (due to non-compliance with federal regulations), BNN Bloomberg obtained a letter written by the dismissed CEO to the board in which he expressed concerns over the company’s corporate governance practices. The CannTrust affair demonstrates the need for rock solid business and corporate acumen and structures for any organization wishing to survive in the cannabis industry.
“This letter’s sole purpose is to express my concerns about the Board and its corporate governance practices,” Peter Aceto wrote to then-chairman Eric Paul in a letter dated Dec. 31, 2018.
Considering the recent allegations of misconduct surrounding CannTrust Holdings Inc., it is interesting to note that the former CEO had longstanding concerns over how the business was running at the leadership and board levels. As suggested in the BNN Bloomberg piece, the cannabis sector is regulated and regularly monitored so corporate governance and compliance are imperatives. This is accentuated by the ever-changing and evolving regulatory framework. At NAVAYA I am personally committed to instill corporate discipline, governance and process. It is the foundation on which my previous business, MAS Industries, grew and thrived. I am proud to be able to work with an experienced team of leaders and board members that shares our commitment to becoming one of Canada’s leading and trusted cannabis organizations. It is important to note that two of NAVAYA’s values are (1) Value the contributions and capabilities of employees, stakeholder and constituencies and (2) to provide products with the highest regard to consumer and employee safety. Only in this way can we build a business that enjoys solid foundations and the promise of a bright future.