Business
Assault charge could tarnish image of Ascend, entire cannabis industry, consultants warn
If Abner Kurtin, founder, CEO and chair of cannabis multistate operator Ascend Wellness Holdings. is known for anything, it’s being outspoken.
In January, after MedMen Enterprises failed to close Ascend’s acquisition of its New York license, prompting a lawsuit, Kurtin posted a series of tweets taking aim at the Los Angeles-based company.
“As New York and other states adopt adult-use cannabis, MedMen’s actions send the worst message – namely, that certain cannabis companies cannot be trusted to keep their word,” Kurtin wrote on Jan. 3.
“MedMen has chosen to disregard the authority of New York regulators.”
In March, he called MedMen management “criminals,” telling Business Insider that “this is an attempt to extort Ascend for a higher price. They want to make a buck.”
A MedMen lawyer said, “… we won’t be responding to nonsense,” according to Business Insider.
Just recently, after the companies agreed to settle on $88 million for the sale, New York-headquartered Ascend walked away from the deal.
Kurtin also has been an outspoken social justice advocate, with Ascend having donated more than $1 million to Last Prisoner Project, a nonprofit that works to support people convicted of marijuana crimes.
On his LinkedIn profile, Kurtin describes himself as a “Libertarian on a quest to end mass incarceration of non-violent criminals.”
But the Ascend exec has been quiet since being charged with battery earlier this month after a witness in Miami reported a physical altercation allegedly involving Kurtin and his girlfriend.
Kurtin even deactivated his Twitter account – but not before he posted (and subsequently deleted) a series of three photos with the hashtag, #Potstocks:
- The first was a photo of Kurtin and the alleged victim, cuddling and smiling.
- The second and third photos showed an affidavit of non-prosecution, signed by the alleged victim, requesting a “complete dismissal of these charges because there was no physical violence in the case.”
A hearing is scheduled for Sept. 30; in the meantime, Ascend Wellness Holdings (AWH) is conducting its own investigation.
“While the company cannot comment on an active investigation, it is treating this matter with the utmost seriousness and will continue to evaluate appropriate steps as more information becomes available,” Ascend said in a news release.
“The independent members of the board are keenly attuned to the company, its shareholders, and employees, and the management team is focused on ensuring AWH continues to operate effectively during this time.”
Neither Kurtin nor Ascend responded to MJBizDaily requests for comment.
‘This is serious’
Marijuana business consultants contacted by MJBizDaily agreed that the company’s investigation shows that Ascend is taking the matter seriously.
Sara Gullickson, founder and CEO of The Cannabis Business Advisors in Phoenix, said that publicly traded cannabis companies require exemplary behavior from executives.
“The marijuana industry has touted itself as a place for the underdog, a place for activists and a place for women,” she said. “As a woman CEO and as somebody that helped build the industry for the last 13 years, this is serious.
“Not only is it serious for their board and their (retail) outlets, but it’s serious for their shareholders.”
Potential investors will not only examine the financials of a company but also the people managing it, Gullickson said. And cannabis is still illegal in many regions.
“Right now, we’re working in the South, and some of our clients are nervous to bring it up to their other business partners because it’s still a taboo industry,” she said.
“We need people that are going to uphold the industry in a way where it becomes less of a taboo.”
As Ascend’s board continues its investigation, shareholders will be a priority, although court proceedings could also affect how the board responds, Gullickson said.
“Depending on what the outcome is, in certain jurisdictions, it could be cumbersome for them (to get licenses to expand),” she noted.
Allegations are only one problem
Avis Bulbulyan, the CEO of California-based consulting firm Siva Enterprises, said Ascend’s investigation will have to be thorough.
“Firing him could lead to other legal liabilities between him and the board and the company,” Bulbulyan said. “You kind of need it to play out.”
While the allegations are deplorable, Bulbulyan added, it could be less significant on a business level than other issues the company is facing.
“None of the publicly listed companies are doing too well right now,” he said. “I think they (Ascend) have other issues that are more concerning with respect to the company itself.”
Chief among those issues are debt and a focus on vertical integration – without an understanding of how to drive consumer loyalty long term.
This year in New Jersey, for example, Ascend launched adult-use sales at what were once medical marijuana dispensaries exclusively serving MMJ patients.
But Bulbulyan isn’t convinced the company can retain those customers if more licenses are issued, if interstate commerce is allowed or if cannabis is rescheduled in the near future.
“Customers are actually waiting and anticipating and begging for more options,” he said. “And as soon as they’re given more options, they’re all going to bail.”
Shares dip
Until recently, investment consultant Jesse Redmond, the creator of cannabis investment website Green Giants, was betting on Ascend.
“Ascend has one of the best footprints of any U.S. operator,” he told MJBizDaily via email, referring to the company’s operations in five states.
“Revenues are accelerating in 2022, largely due to their three stores and expanding cultivation in New Jersey.
“This, combined with one of the cheaper valuations of any top-10 MSO, made them one of the more attractive cannabis stocks.”
But after news broke about the charge against Kurtin, Redmond decided to sell his Ascend stocks.
Even though the case hasn’t been tried and Ascend’s investigation isn’t complete, the allegations still tainted Redmond’s view of the MSO’s management.
He also doubts the company can attract the institutional investment he previously was banking on.
“After this incident, I don’t expect large allocators to invest,” he said. “We are seeing selling by blue-chip funds.”
As of Sept. 20, shares in Ascend were $1.80, down nearly 25% from a Sept. 6 share price of $2.39.
As shareholders and the industry wait for the outcome of Kurtin’s pending court proceedings and Ascend’s investigation, Redmond said he isn’t concerned that the company’s expansion plans will be compromised in the meantime.
“Not in the near term,” he said. “They have other strong leaders that can execute current initiatives.”
Source: https://mjbizdaily.com/abner-kurtin-assault-charge-could-tarnish-images-of-ascend-cannabis-industry/
Business
EU Pressure Builds on Google as Regulators Face Calls for Massive Fine Over Search Practices
A growing coalition of European industry groups is intensifying pressure on regulators to take decisive action against Google over allegations of unfair search practices that could reshape competition rules across the region’s digital economy.
Investigation Under Digital Markets Act Gains Momentum
The case is being examined by the European Commission under the European Union’s landmark Digital Markets Act (DMA), introduced to curb the dominance of major technology platforms and ensure fair competition.
Launched in March 2024, the investigation focuses on whether Google has been prioritising its own services in search results, potentially disadvantaging rival businesses that rely on online visibility to reach customers.
Industry Groups Demand Swift Action
Several prominent European organizations have jointly urged regulators to conclude the probe without further delay. They argue that prolonged investigations allow alleged anti-competitive practices to continue, putting European companies—especially startups—at a disadvantage.
Signatories include the European Publishers Council, the European Magazine Media Association, the European Tech Alliance, and EU Travel Tech.
In a joint statement, these groups warned that delays in enforcement are affecting innovation, profitability, and growth prospects for regional businesses competing in digital markets.
Google Denies Allegations
Google has rejected claims of bias, stating that its search algorithms are designed to deliver the most relevant and useful results to users. The company has also proposed adjustments to address regulatory concerns.
However, critics argue that these changes are insufficient and fail to address the core issue of market dominance.
Potential Billion-Euro Penalties
If found in violation of the DMA, Google could face significant financial penalties. Under EU rules, fines can reach a substantial percentage of a company’s global turnover, potentially amounting to billions of euros.
Regulators may also impose corrective measures requiring changes to business practices, which could have long-term implications for how digital platforms operate in Europe.
Wider Implications for Big Tech
The case highlights ongoing tensions between European regulators and major U.S. technology firms. In recent years, the EU has taken a more aggressive stance in enforcing competition laws, aiming to create a level playing field for local businesses.
A final ruling against Google could set a major precedent, influencing future enforcement actions and shaping the regulatory landscape for global tech companies operating within Europe.
As scrutiny intensifies, the outcome of the investigation is expected to play a critical role in defining the future of digital competition across the European Union.
AI & Technology
Amazon Faces Potential Criminal Trial in Italy Over €1.2 Billion Tax Evasion Allegations
Milan: U.S. tech giant Amazon is facing the prospect of a major legal showdown in Italy, after prosecutors in Milan formally requested a court to move forward with criminal proceedings over alleged tax evasion totaling approximately ₹12,500 crore (€1.2 billion).
The case targets Amazon’s European division along with four senior executives, marking one of the most significant tax-related investigations involving a global e-commerce platform in Europe.
Trial Push Despite Multi-Million Euro Settlement
The move comes even after Amazon reached a financial settlement with Italian tax authorities in December, agreeing to pay around ₹5,500 crore (€527 million), including interest, to resolve part of the dispute.
Typically, such settlements lead to the closure of criminal investigations. However, Milan prosecutors have opted to proceed, signaling a tougher stance on alleged corporate tax violations.
A preliminary hearing is expected in the coming months, where a judge will decide whether to formally indict the company and its executives or dismiss the case.
Allegations of VAT Evasion Through Marketplace Sellers
At the center of the investigation are claims that Amazon’s platform enabled non-European Union sellers to avoid paying value-added tax (VAT) on goods sold to Italian consumers between 2019 and 2021.
Prosecutors allege that the company’s marketplace structure allowed thousands of foreign vendors—many reportedly based in China—to operate without fully disclosing their identities or tax obligations. This, authorities argue, led to substantial VAT losses for the Italian government.
Under Italian law, online platforms facilitating sales can be held partially liable if third-party sellers fail to comply with tax requirements, a key point in the prosecution’s case.
Italian Government Named as Affected Party
In their filing, prosecutors identified Italy’s Economy Ministry as the injured party, citing significant financial damage resulting from the alleged tax evasion.
Legal experts say the outcome of the case could have wide-ranging implications across the European Union, where VAT systems are harmonized and similar compliance rules apply to digital marketplaces.
Multiple Investigations Add to Pressure
The VAT probe is just one of several legal challenges facing Amazon in Italy. The European Public Prosecutor’s Office is reportedly examining additional tax-related issues covering more recent years.
Meanwhile, Milan authorities are pursuing separate investigations into alleged customs fraud linked to imports from China and whether Amazon maintained an undeclared “permanent establishment” in Italy—potentially exposing it to higher tax liabilities.
In a separate regulatory action, Italy’s data protection authority recently ordered an Amazon unit to stop using personal data from over 1,800 employees at a warehouse near Rome.
Amazon Denies Allegations
Amazon has consistently denied wrongdoing and indicated it will strongly contest the allegations in court if the case proceeds. The company has also warned that prolonged legal uncertainty could impact investor confidence and Italy’s appeal as a destination for international business.
Broader Impact on Europe’s Digital Economy
If the case moves to trial, it could become a landmark moment for the regulation of global e-commerce platforms in Europe. Governments across the region are increasingly scrutinizing how digital marketplaces handle tax compliance, especially in cross-border transactions.
With online retail continuing to expand, regulators are under mounting pressure to ensure that multinational platforms and third-party sellers adhere to the same tax rules as traditional businesses.
Aviation
IndiGo Crisis Exposes Risks of Monopoly: What If Telecom or E-commerce Collapses Next?
Airports across India witnessed scenes of distress and confusion as thousands of passengers were stranded due to IndiGo’s massive flight disruptions. Families with medical emergencies, funerals, and personal crises were left helpless as the airline cancelled hundreds of flights without adequate communication or support.
Passengers described desperate situations — a mother pleading for sanitary pads for her daughter, a woman unable to transport her husband’s coffin, and others stranded while trying to reach family funerals or hospitals. “It was like a lockdown at the airport,” one passenger said, describing the panic that unfolded as IndiGo’s mismanagement crippled operations nationwide.
Root Cause: IndiGo’s Market Monopoly
The turmoil, industry experts argue, stems from IndiGo’s monopolistic control over India’s domestic aviation market. The airline operates nearly 2,100 flights daily and holds around 60% market share — meaning every second plane flying within India belongs to IndiGo.
This dominance has given the company unparalleled influence. When IndiGo falters, the entire aviation system suffers. Passengers are left with few alternatives, as other airlines lack capacity to absorb stranded travellers. The result: skyrocketing ticket prices, chaos at terminals, and total dependence on a single private operator.
Aviation pioneer Captain G.R. Gopinath, founder of Air Deccan, criticised the government’s inaction, noting that on some routes, IndiGo’s economy fares surged to ₹1 lakh. He compared the situation to a hostage crisis, writing that the airline “held the system ransom” and forced regulators to defer new safety rules meant to protect pilots and passengers.
Government Intervention and Regulatory Weakness
The crisis erupted after IndiGo failed to comply with the Flight Duty Time Limitations (FDTL) — rules introduced by the DGCA in January 2024 requiring adequate rest for pilots. Despite having nearly two years to adapt, IndiGo blamed the rule for operational disruptions, citing a shortage of pilots.
Under mounting public pressure, the government stepped in, temporarily relaxing FDTL norms and capping airfare hikes. Officials claimed the move was to protect passengers, but analysts say it exposed the state’s vulnerability to corporate monopolies. “The government had no option but to yield,” said one aviation policy expert, pointing out that ignoring safety regulations for short-term relief could have long-term consequences.
The crisis also rekindled memories of the June 2025 Air India crash near London, which claimed over 240 lives. Experts warn that compromising pilot rest and safety standards to maintain flight schedules could risk another tragedy.
If Telecom Giants Fail: A National Paralysis
The article raises a troubling question — what if a similar crisis struck the telecom sector, where Jio and Airtel together control nearly 80% of subscribers and serve over 780 million users?
If both networks failed simultaneously, the repercussions would be catastrophic. Internet shutdowns would halt UPI transactions, online banking, OTP verifications, video calls, OTT streaming, and emergency communications. Critical services such as airports, hospitals, stock exchanges, and small businesses — many of which rely on WhatsApp and digital payments — would come to a standstill.
In essence, a telecom breakdown could paralyse India’s digital economy, exposing the nation’s dependence on a duopoly.
E-commerce Monopoly: Another Fragile Ecosystem
The same risk looms over the e-commerce sector, where Amazon and Flipkart dominate nearly 80% of the market. A disruption similar to IndiGo’s could cripple daily life — halting delivery of groceries, medicines, and essential goods, freezing refunds and customer support, and leaving small sellers without platforms to trade.
Local retailers, freed from competition, might exploit shortages by inflating prices. Such a scenario underscores the perils of market centralisation in sectors critical to everyday living.
A Wake-Up Call for Regulators
The IndiGo crisis, analysts say, is a warning shot for policymakers and regulators. A single company’s operational failure exposed systemic weaknesses in India’s infrastructure and consumer protection mechanisms.
As the aviation regulator DGCA investigates and IndiGo works to restore normalcy, the broader lesson remains clear: unchecked monopoly power in any essential service — whether air travel, telecom, or e-commerce — poses a direct threat to economic stability and citizen welfare.
Without stronger competition laws, redundancy frameworks, and regulatory oversight, India risks repeating this crisis across multiple sectors — each time with millions of citizens paying the price.
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