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Arkansas issues first dispensary license revocation since launching the medical marijuana industry

The state said an investigation involving undercover agents found the dispensary had sold more than 1,800 expired products.

HOT SPRINGS, Ark. — The Arkansas Alcoholic Beverage Control Division (ABC) has issued the state's first revocation of a dispensary license since the medical marijuana industry launched in 2019.

The ABC revoked the dispensary license for Green Springs Medical Marijuana Dispensary in Hot Springs due to "ongoing violations, most recently selling more than 1,800 expired products," according to the Arkansas Department of Finance (DFA). 

After giving Green Springs a "verbal warning," ABC enforcement agents went undercover to purchase some of the dispensary's expired products in October 2023. 

"For the safety of the industry and patients, ABC has a responsibility to ensure compliance with the law," Trent Minner, leader of DFA's Regulatory Division, said. "Despite receiving over 50 violations and warnings over the last four years, Green Springs has continued its pattern of noncompliance. A license to operate in the medical marijuana industry in Arkansas is a privilege not to be taken lightly. When state law is consistently disregarded, ABC has a duty to revoke the license."

DFA cites additional violations such as failure to keep processing areas sanitary, maintain biannual inventory information, certify scales, maintain accurate personal records, maintain video surveillance, and more. 

The business was the second dispensary to open in Arkansas. Now, the state has 38 dispensaries in operation. 

"Enforcement agents consistently share information with permit holders to streamline processes and avoid potential violations," ABC Director Christy Bjornson said. "When a dispensary ignores warnings, violations, and guidance offered by ABC, the only remaining option is revocation. We anticipate an appeal and look forward to presenting our case to the board."

Green Springs has the option to appeal the revocation to the ABC Board. If the business chooses to appeal, the dispensary will be able to continue business while the appeal decision is pending. 

During appeal proceedings, the permit holder of Green Springs and staff from ABC will share testimony with the board. They will then decide whether to repeal or uphold the revocation. 

If the ABC Board decides the latter, Green Springs can appeal to the Circuit Court. 

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