Federal grand jury to probe ex-Oregon official with cannabis ties, report says

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Federal law enforcement has assembled a grand jury to investigate a former Oregon official who moonlighted for cannabis companies while overseeing the state’s marijuana regulatory agency, The Oregonian reported.

An unidentified source told the newspaper that Shemia Fagan – who resigned as secretary of state after it was revealed she accepted a lucrative consulting contract with a licensed cannabis company – is the target of a federal grand jury investigation.

Fagan, whose duties included oversight of Oregon’s Liquor and Cannabis Commission, quit in early May after admitting to having accepted a $10,000-a-month contract with Veriede Holding, an affiliate of Oregon cannabis company La Mota.

Her deal included a $30,000 bonus for every state license the company acquired outside of Oregon and New Mexico.

Fagan didn’t respond to requests for comment from The Oregonian.

Federal grand juries are notoriously secretive but are often the precursor to corruption charges.

Corruption connected to cannabis licensing has been on the FBI’s radar since 2019.

Since then, prominent public officials across the United States have been found guilty or pleaded guilty to accepting bribes in exchange for preferential treatment of potential license holders, including a former mayor of Fall River, Massachusetts, and an ex-Michigan House Speaker.