The board of directors at MassRoots, the cannabis-focused technology and social media giant, has fired CEO and founder Isaac Dietrich amid financial difficulties plaguing the Denver company.
The move was first reported by Benzinga.
MassRoots has been suffering from a high cash-burn rate and declining revenues.
Dietrich repotedly knew the vote was coming and spent last weekend trying to persuade MassRoots’ shareholders to fire the board.
But the board was able to oust Dietrich first, Forbes reported.
The board named vice president Scott Kveton as the new CEO.
Kveton was director of business development at Odava, a company that makes compliance and supply management software for marijuana businesses.
MassRoots acquired the company in July as part of a broader acquisition strategy that sought to move it away from its social media roots to other technology businesses.
Forbes also said Dietrich had come under suspicion of stock promotion.
At least some of MassRoots’ shareholders are upset with Dietrich’s firing, however. Forbes claims he could be reinstated if enough shareholders want to fire the board.
MassRoots, which trades on the OTC market under the MSRT ticker symbol, closed Monday trading at 33 cents per share, down 10 cents, or 23.26%, from where it started the day.