Business
How a Canadian cannabis nursery got nearly CA$2 million in federal funding
Saskatchewan cannabis nursery Mother Labs’ recent success securing 1.8 million Canadian dollars ($1.4 million) in federal funding shows how Canada’s cannabis industry can benefit from government financing at a time when capital is scarce.
“It’s smart money, and it will be truly helpful for us to grow and expand throughout the prairies and throughout western Canada,” Brian Bain, CEO of privately held Mother Labs, told MJBizDaily.
Public records show that cannabis business funding – in some cases worth millions of dollars – has been made available from a range of Canadian federal government bodies for applications including business development, expansion and research.
The investment in Mother Labs from federal agency Prairies Economic Development Canada (PrairiesCan) was announced in late June, alongside funding to 10 other Saskatchewan businesses.
Selling equity or raising funds from a private lender is particularly difficult in the contemporary cannabis sector, Bain said.
“Money is not easy to get for us right now, and it’s not easy to get for anyone in the space,” he explained.
“So when it comes, you have to take it, and it was definitely in line with where we were as a company in our growth stage,” Bain said, adding that this was the second time Mother Labs applied for funding.
As a nursery, Mother Labs supplies licensed Canadian marijuana producers with starting materials and helps them source and manage cannabis genetics.
“If a grower has a genetic – let’s say it’s dirty or they don’t want to grow (it) for a few years – we can take that in, store it, help them manage it and give it back to them,” Bain explained.
Mother Labs funding
Mother Labs’ government funding comes in the form of an interest-free loan meant to match funds from the company, Chief Financial Officer Jeff Bourassa wrote in an email to MJBizDaily.
Bourassa said the nursery has a three-year window to execute its project using the funds, followed by a five-year repayment period.
The loan is interest-free as long as payments are made on time, he wrote.
CEO Bain said Saskatoon-based Mother Labs will use the money to expand into British Columbia, as well as investing in automation and hiring new talent.
He described the application process as “quite arduous,” particularly in the fast-changing cannabis space.
“They need details in terms of where the capital is being utilized, what the plan is, how it benefits the province, how many hires it will involve — there’s a lot of information, a lot of due diligence we have to go through to really be able to accurately predict the future.”
Nevertheless, Bain believes the funding application process was roughly as much work as applying for funding from a bank, and he noted that a bank might be “a little less risk tolerant.”
“This is definitely something to help emerging businesses,” he said, adding that banks typically want “a sure bet.”
Finding funding opportunities
PrairiesCan is one of seven regional development agencies that fall under the portfolio of Canada’s federal Innovation, Science and Economic Development ministry (ISED).
Other ISED regional development agencies have funded cannabis business initiatives as well.
A spokesperson for the Atlantic Canada Opportunities Agency, another regional development group, told MJBizDaily that applications for funding are judged based on criteria including compliance, economic benefit and agency priorities. Agencies also evaluate potential recipients’ “technical and financial management capacities” as well as their “ability to deliver the proposed project activities.”
Canadian cannabis companies in search of government funding might consider exploring Canada’s Open Government database, which lists grants and contributions from various federal departments and agencies to cannabis companies including laboratories, processors and producers.
Examples of government grants and contributions to cannabis producers include:
- A nearly CA$100,000 contribution toward an automated pre-rolling machine for Northwest Territories grower Boreal Cultivation from the Canadian Northern Economic Development Agency (CanNor), lasting from 2021 to 2022.
- A CA$50,000 contribution from Agriculture and Agri-food Canada to help Ontario cultivator Glasshouse Botanics achieve GMP certification for European medical cannabis sales, lasting from 2021 to 2023.
- A CA$2.9 million contribution, from 2022 to 2025, to British Columbia producer Tantalus Labs for greenhouse expansion from Western Diversification Canada, which has since been divided into Pacific Economic Development Canada (PacifiCan) to serve British Columbia and PrairiesCan to serve Alberta, Manitoba and Saskatchewan.
Other government grants and cannabis industry contributions have been related to the COVID-19 pandemic.
The biggest Canadian government contribution to the cannabis industry listed on the Open Government portal is a nearly CA$5.4 million contribution from PrairiesCan to Alberta-based PBG BioPharma to increase manufacturing capacity, lasting from 2022 to 2025.
A PrairiesCan spokesperson recommended companies visit the agency’s website to learn about funding programs as well as ISED’s Business Benefits Finder to search for government support opportunities.
For cannabis companies seeking funding like Mother Labs received, CEO Bain offered some advice: “Be diligent, don’t take no for an answer.”
“Be aware of different programs that are out there, and constantly ask questions,” he added.
A variety of federal and provincial programs are available, Bain continued, adding that companies “have to go out there and find them.”
“And if you’re not there to apply, then your chances of getting it are obviously zero.”
Source: https://mjbizdaily.com/how-a-canadian-cannabis-nursery-got-nearly-ca2-million-in-federal-funding/
Business
Jio’s 1,600-Satellite LEO Constellation Gets Technical Green Light
Reliance Jio has crossed a significant milestone in its space connectivity ambitions after its proposal to deploy a Low Earth Orbit (LEO) satellite constellation of around 1,600 satellites received a positive technical assessment from the Indian National Space Promotion and Authorisation Centre (IN-SPACe).
The evaluation, conducted jointly by IN-SPACe, the Indian Space Research Organisation (ISRO), and the Wireless Planning and Coordination (WPC) wing of the Department of Telecommunications, reportedly concluded that Jio’s proposed system meets the required technical standards and is comparable to leading global satellite broadband networks.
India’s Indigenous LEO Satellite Vision
Under the proposal, Reliance Jio plans to deploy between 1,600 and 1,650 satellites in Low Earth Orbit at an altitude of around 650 kilometres.
The planned constellation is expected to provide high-speed satellite connectivity across India, with approximately 32 satellites visible from any location at a given time. The company aims to roll out the network within the next two to three years, subject to regulatory approvals.
According to industry estimates, the satellite system could deliver 4.5 to 5 terabits per second (Tbps) of total data capacity, making it one of the largest satellite broadband projects proposed in India.
The project is expected to require an investment of $10–15 billion (approximately ₹95,000 crore to ₹1.42 lakh crore), reflecting the scale of infrastructure needed for satellite manufacturing, launches, ground stations, and user terminals.
Regulatory Process Moves Forward
Following the successful technical review, the proposal is expected to move into the next phase of regulatory approvals.
The government may now assist Jio in securing orbital slots, coordinating spectrum usage, and filing applications with the International Telecommunication Union (ITU), the global body responsible for managing satellite orbit and frequency allocations.
Obtaining orbital rights remains a critical step, as Low Earth Orbit has become increasingly competitive due to the growing number of satellite broadband projects being planned worldwide.
Officials also indicated that the proposed satellite architecture has been designed to coexist with future Indian LEO constellations, allowing multiple domestic operators to share orbital resources efficiently.
Broadband, Mobile Connectivity, and Strategic Applications
Jio plans to use the satellite network to provide a range of communication services, including satellite broadband, mobile backhaul, enterprise connectivity, and direct-to-device (D2D) satellite communication, particularly in remote and underserved regions where conventional telecom infrastructure is limited.
The company also intends to establish 20 to 22 ground stations across India to support network operations.
Apart from commercial telecommunications, officials have highlighted the project’s potential strategic importance. A domestically developed satellite constellation could strengthen India’s communication infrastructure, reduce dependence on foreign satellite operators, and support national security requirements.
Reports suggest preliminary discussions are underway regarding the possibility of integrating defence-related payloads into some satellites, enabling both civilian and strategic use.
Major Step for India’s Space and Telecom Sectors
Industry analysts view the technical clearance as an important milestone in India’s expanding private space ecosystem. If Jio secures the remaining regulatory approvals and international orbital clearances, the project could become the country’s first large-scale indigenous LEO satellite broadband network.
The initiative also aligns with India’s broader efforts to expand digital connectivity while strengthening its presence in the global satellite communications market.
Business
Alleged Crores Pharma Scam Mastermind Arrested from Surat
After evading law enforcement for nearly 13 years, an accused linked to a large-scale pharmaceutical fraud case has been arrested by Delhi Police from Surat, Gujarat. The suspect is alleged to have orchestrated a series of financial scams involving fake identities, forged documents, and dishonoured cheques used to procure high-value pharmaceutical raw materials.
Authorities say the accused, identified as Himmat Singh Lodha, is believed to have defrauded multiple pharmaceutical companies in Delhi of goods worth approximately ₹98 lakh before disappearing and remaining underground for years.
Fake Business Deals and Dishonoured Cheques Used in Fraud
Investigators claim the accused posed as a legitimate pharmaceutical trader and placed bulk orders for expensive drug ingredients, offering post-dated cheques as payment security.
In one documented case from 2013, he allegedly obtained around 550 kilograms of Gliclazide, a diabetes-related pharmaceutical ingredient, valued at over ₹26 lakh. When suppliers attempted to encash the cheques, they were reportedly returned with the remark “account closed.”
Following the transaction, the accused allegedly vacated his office and rented residence and disappeared without settling payments. He was later declared a proclaimed offender in 2016 after repeatedly failing to appear before court proceedings. Authorities had also issued a reward for information leading to his arrest.
Multiple Identities and Repeated Fraud Pattern
Police investigations further link the accused to another cheating case dating back to 2012, where he allegedly used a fake identity, “Kailash Jain,” to obtain a large consignment of Ambroxol HCL, a pharmaceutical compound used in cough medications. The value of that consignment was estimated at around ₹72 lakh.
Officials believe the accused followed a consistent modus operandi—posing as a credible businessman, securing high-value goods on deferred payment terms, and then disappearing after delivery while shutting down business operations.
Investigators suspect that forged business records, fake company credentials, and fabricated financial histories were used to build trust with suppliers and gain access to expensive raw materials.
Multi-State Surveillance Leads to Arrest in Surat
A special Crime Branch team tracked the accused through coordinated surveillance efforts across multiple cities, including Mumbai, Ahmedabad, and Surat. After nearly a month of technical monitoring and intelligence gathering, officials located and arrested him from a residential area in Surat.
Authorities also revealed that the accused had been involved in property-related activities while staying under the radar to avoid detection.
Growing Threat of Corporate Identity Fraud
The case highlights a rising trend of organised financial fraud targeting industries that rely heavily on trust-based transactions and deferred payments. Experts note that criminals increasingly exploit gaps in corporate verification systems by using fake GST registrations, temporary offices, and forged documentation to appear legitimate.
Cybercrime and financial fraud specialists warn that such schemes are becoming more complex with the widespread availability of digital business tools, making it easier to create convincing but fraudulent corporate identities.
Experts Urge Stronger Due Diligence in High-Value Transactions
Experts, including former IPS officer and cybercrime specialist Prof. Triveni Singh, emphasize the need for stricter verification procedures in commercial dealings. He noted that relying solely on paperwork or digital business profiles can expose companies to significant financial risk.
Authorities and industry experts recommend physical verification of business operations, bank account validation, and detailed background checks before engaging in high-value or deferred-payment transactions—particularly in sectors like pharmaceuticals, where single consignments can involve transactions worth crores.
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.
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