Mississippi to Revoke License of Medical Cannabis Testing Lab After Rule Violations

2 min readPublished On: February 26th, 2024By

LOS ANGELES — In a significant move that highlights the stringent regulatory landscape of the medical cannabis industry, the Mississippi State Department of Health (MSDH) has announced plans to revoke the operating license of Rapid Analytics, a key player among the state’s medical cannabis testing facilities. This decision, disclosed in a press release on Thursday, follows an exhaustive investigation into the lab’s practices, uncovering severe non-compliance with state regulations.

The inquiry, spanning from December 21, 2023, to February 9, 2024, was initiated after an anonymous tip-off suggested the contamination of numerous products with pesticides. The MSDH’s investigation revealed “significant deviations from regulatory standards and approved procedures,” underscoring the critical nature of medical cannabis testing to ensure patient safety. “Medical cannabis testing is critical to ensuring product safety for patients, and Rapid Analytics’ disregard for regulatory compliance poses a threat to public health and welfare,” the health department stated.

Rapid Analytics now faces a twenty-day period to contest the revocation, with the appeal process slated for March 13. This development traces back to an earlier incident in December, where discrepancies in the lab’s pesticide and mycotoxin testing results triggered a statewide administrative hold on a substantial portion of medical cannabis products. According to the MSDH, the investigation’s findings validated concerns raised by an anonymous source regarding pesticide contamination, affecting an estimated 70% to 80% of the market.

The administrative hold resulted in significant disruptions within the industry, particularly for newly opened retail outlets, some of which were forced into temporary closure. Despite these challenges, no illnesses have been reported in connection to the affected products.

In the wake of these findings, the MSDH facilitated retesting of the impacted products through a third-party lab, utilizing the state’s cannabis tracking system, Metrc, to streamline the process. Rapid Analytics has defended its testing methods amidst these allegations. In December, a lab representative described the concerns as “baseless,” affirming the reliability of their testing procedures to the Magnolia Tribune.

The controversy has spurred a broader discussion on the adequacy of testing infrastructure within the state. Mike Watkins, Executive Director for the Mississippi Independent Cannabis Association, indicated to the Magnolia Tribune that efforts are underway to certify two additional facilities for product testing, reflecting the industry’s resilience in ensuring regulatory compliance and product safety.

As the state navigates this regulatory hurdle, the focus remains on safeguarding patient health while maintaining the integrity of Mississippi’s medical cannabis industry.

About the Author: HCN News Team

The News Team at Highly Capitalized are some of the most experienced writers in cannabis and psychedelics business & finance. We cover capital markets, finance, branding, marketing and everything important in between. Most of all, we follow the money.

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