Blum Holdings Inc (BLMH)

[Professor Penny PhD]

The whole TRTC being a public company thing is overblown. It is a federal crime for everybody involved to sell marijuana, not just TRTC.

To see why it's not an issue, you have to understand how (federal) bureaucracies work. They have mandates, which dictate what issues they can and cannot address. The legality of a company's products is not, to my knowledge, part of the SEC's mandate. For example, if a public company was found to have violated federal law by dumping toxic waste in a river that flows through multiple states, it would be an issue for the EPA, FBI, and justice department. The SEC would have nothing to say, because the crime has nothing to do with the companies public financing activities, which is in the SEC's mandate. There would be no halt, there would be no SEC investigation.

That being said, it doesn't mean anything for whether or not the commissioners want to have a public company be licensed.

Finally, I would also suggest that commissioners asking a few questions of a presentation is a good thing. If they ask no questions and make no comments it might mean the application simply has no chance, and they don't feel like wasting time asking question. Too many questions might suggest that the commissioners see it as a potentially viable application, but prefer others and want to discredit it in the eyes of the committee members.

Regards,