Current through Register Vol. 48, No. 38, September 20, 2024
a) The
Division, after notice to the applicant or registrant, may refuse to issue or
renew, place on probation, temporarily suspend, suspend, or revoke a dispensing
organization registration or agent identification card in any case in which the
Division finds any of the following:
1)
Material misstatement in furnishing information to the Division;
2) Violations of the Act or this
Part;
3) Obtaining an authorization
or registration by fraud or misrepresentation;
4) A pattern of conduct that demonstrates
incompetence or unfitness to work in or operate a dispensary;
5) Aiding or assisting another person in
violating any provision of the Act or this Part;
6) Failing to respond to a written request
for information by the Division within 30 days;
7) Engaging in unprofessional, dishonorable
or unethical conduct of a character likely to deceive, defraud or harm the
public;
8) Discipline by another
U.S. jurisdiction or foreign nation;
9) A finding by the Division that the
registrant, after having his or her registration placed on suspended or
probationary status, has violated the terms of the suspension or
probation;
10) Conviction, entry of
a plea of guilty, nolo contendere or the equivalent in a state or federal court
of an excluded offense, a felony, or of two or more misdemeanors involving
moral turpitude during the previous five years as shown by a certified copy of
a court record;
11) Excessive use
or addiction to alcohol, narcotics, stimulants or any other chemical agent or
drug;
12) A finding by the Division
of a discrepancy in a Division audit of medical cannabis;
13) A finding by the Division of a
substantial discrepancy in a Division audit of capital or funds;
14) A finding by the Division of acceptance
of medical cannabis from a source other than a cultivation center registered by
DOA;
15) An inability to operate
using reasonable judgment, skill or safety due to physical or mental illness or
other impairment or disability, including without limitation, deterioration
through the aging process or loss of motor skills or mental
incompetence;
16) Failing to report
to the Division within the timeframes established, or if not identified, 14
days, of any adverse final action taken against the dispensing organization or
an agent by a licensing jurisdiction in any state or any territory of the
United States or any foreign jurisdiction, any governmental agency, any law
enforcement agency or any court defined in this Section;
17) Failing to comply with a subpoena issued
by the Division;
18) Failure to
promptly inform the Division of any change of address;
19) Disclosing customer names, personal
information or protected health information in violation of any State or
federal law;
20) Operating a
dispensary before obtaining a registration from the Division;
21) Dispensing cannabis to any person other
than a qualifying patient, provisional patient, designated caregiver, or OAPP
participant with a valid registry identification card, provisional
registration, or confirmation in the Illinois Cannabis Tracking
System;
22) A principal officer or
agent-in-charge failing to report to the Division when he or she knows or
should have known that an agent was using medical cannabis when the agent does
not have a qualifying patient registry identification card, or provisional
registration, or is not an OAPP participant;
23) Dispensing cannabis when prohibited by
the Act or this Part;
24) Any fact
or condition which, if it had existed at the time of the original application
for the registration, would have warranted the denial of the
registration;
25) Permitting a
person without a valid agent identification card to be employed by the
dispensing organization;
26)
Failure to assign an agent-in-charge as required by this Part;
27) Personnel insufficient in number or
unqualified in training or experience to properly operate the dispensary
business;
28) Any pattern of
activity that causes a harmful impact on the community;
29) Failing to prevent diversion, theft or
loss of medical cannabis; or
30)
For any unethical, dishonorable or unprofessional conduct.
b) If the Division determines that the
dispensing organization committed a violation, the Division may take any
disciplinary or non-disciplinary action as the Division may deem proper,
including fines not to exceed $10,000 for each violation.
c) If the Division determines that a person
or entity is a principal officer or holds a financial interest in more than
five dispensary registrations in violation of this Part, the Division will
suspend the registrations of all dispensaries held by that person until the
person is divested from all dispensing organizations that exceed the limit
provided for in this Part. If the person or persons does not divest from all
dispensing organizations that exceed the limit provided for in this Part within
30 days, the Division will revoke the registration for the dispensaries, based
on date acquired, that exceed the limit.
d) A notice of violation issued by the
Division shall include a clear and concise statement of each violation, the
statute or rule violated, the discipline sought and a notice of opportunity for
hearing.
e) If a dispensing
organization contests the violation, it shall provide written notice to the
Division requesting a hearing within 10 days after service of the notice of
violation.
f) Upon receipt of the
request for hearing, the Division shall confirm receipt of the notice and hold
an administrative hearing as provided in the Act and this Part.
g) If a dispensing organization does not
contest a revocation notice, it may surrender its registration by written
notice to the Division and return its registration.
h) The effective date of nonrenewal or
revocation of a registration by the Division shall be any of the following:
1) Until otherwise ordered by the circuit
court, revocation is effective on the date set by the Division in the
revocation notice, or upon final action after hearing under the Act and this
Part, whichever is later;
2) Until
otherwise ordered by the circuit court, nonrenewal is effective on the date of
expiration of the existing registration, or upon final action after hearing
under the Act and this Part, whichever is later; however, a registration shall
not be deemed to have expired if the Division fails to respond to a timely
request for renewal under this Act or for a hearing to contest nonrenewal under
this Part.
i) All fines
imposed under this Section shall be paid within 60 days after the effective
date of the order imposing the fine or as otherwise specified in the
order.
j) A circuit court order
establishing that an agent-in-charge or principal officer holding a
registration is a person in need of mental health treatment may operate as a
suspension of the registration.
k)
In a contested case, administrative hearings conducted under the jurisdiction
of the Department will be subject to 68 Ill. Adm. Code 1110 (DFPR hearing
rules).
