The rationale for doing so centered not on an antitrust evaluation, however as a result of he didn’t like the character of their underlying enterprise.

Who knew !!!!!!

Marijuana Moment have this scoop of a report that’s making some fairly critical allegations…They write

Attorney General William Barr’s private opposition to marijuana led him to direct improper antitrust investigations into a number of hashish firm mergers—accounting for almost one-third of the division’s circumstances in 2019—in accordance with written testimony from a present Justice Department official who’s slated earlier than the House Judiciary Committee on Wednesday.

Here’s the testimony in full

elias_written_testimony_hjc

 

Here are a few of the highlights of the testimony

Today, I’ll describe two types of investigations undertaken over the objections of the profession employees. First, on the route of Attorney General Barr, the Antitrust Division launched ten full-scale evaluations of merger exercise happening within the marijuana, or hashish, trade. These mergers contain corporations with low market shares in a fragmented trade; they don’t meet established standards for antitrust investigations

This a part of the testimony is especially damming

Last yr, the Antitrust Division reviewed the proposed mixture of MedMen and PharmaCann, two corporations that provide hashish. When profession employees examined the transaction, they decided that the hashish trade gave the impression to be fragmented with many market contributors within the states that had legalized the product. As a consequence, they considered the transaction as unlikely to boost any vital aggressive issues.

However, on March 5, 2019, Attorney General Barr known as the Antitrust Division management to his workplace for a gathering entitled “Marijuana Industry Merger Review.” As a Microsoft Outlook delegate of one of many attendees, I used to be copied on the calendar appointment however didn’t attend the assembly. The Antitrust Division political management requested employees to arrange a brief briefing memo for Attorney General Barr earlier than the assembly. In that memo, employees emphasised in underlined textual content that in its preliminary view, the transaction was unlikely to boost any vital aggressive issues that might justify issuance of Second Requests.

Rejecting the evaluation of profession employees, Attorney General Barr ordered the Antitrust Division to situation Second Request subpoenas.

The rationale for doing so centered not on an antitrust evaluation, however as a result of he didn’t like the character of their underlying enterprise.

 

The Marijuana Moment report goes on to say…


Those investigations, which seem to have influenced the top of at the very least one main merger between MedMen and PharmaCann, have been protested by profession DOJ employees who objected to the rationale for such inquiries. The Justice Department’s Antitrust Division sometimes should display that there’s substantial threat of anticompetitive hurt for mergers it investigates, together with the potential for monopolization.

The official pressured that the directive from Barr resulted within the waste of departmental sources, with hashish transactions at one level representing “five of the eight active merger investigations in the office that is responsible for the transportation, energy, and agriculture sectors of the American economy.”

Read the complete MM article at

 

Attorney General Wasted DOJ Resources To Investigate Marijuana Mergers Due To Personal Bias, Official Alleges

 

 

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