UH OH! SGMD better change cusip and ticker FAST -->
Even if sgmg did have MJ crops, they would likely be shut down by the SEC. They now have NO choice (And that is if they really were in the MJ crop business) to shut down the MJ and reverse into a new scheme. SGMD can now blame the failure on SEC compliance that will make it impossible for them to be in the MJ industry.
SEC Proposes to Enhance Disclosures by Certain Investment Advisers and Investment Companies About ESG Investment Practices
Cannabis and ESG
Cannabis companies have made their own ESG pledges, such as HEXO Corp’s pledge to be carbon neutral, which was achieved in September 2021.[6] Cannabis giant Trulieve announced in November 2021 the publication of its first ESG Report, highlighting the company’s ESG achievements to date and establishing targets on environmental and diversity, equity and inclusion (DEI) initiatives.[7] Similar ESG pledges from cannabis companies soon will be commonplace and even expected.
Although ESG messaging and disclosures can be good for business, they come with significant disclosure-based risks. Some examples of ESG claims that already have impacted the corporate world include (1) environmental claims involving pledges on climate change and net water positivity, (2) social claims such as #MeToo and failure to meet DEI goals, and (3) corporate governance issues such as action around cybersecurity risks. Cannabis companies have been subject to management liability arising from these same issues. One may reasonably expect more ESG-related risk to cannabis D&Os going forward based on the combined impact of the cannabis industry’s rapid growth and increasing ESG pressures on all companies.
