Federal investigation launched into former Oregon secretary of state’s cannabis contract
Eden Villalovas
Video Embed
Shemia Fagan is facing a federal investigation centering on her role at a cannabis business while she served as Oregon’s secretary of state.
Federal officials have designated a grand jury to look into links between the Democrat and the company, according to The Oregonian.
THE FIGHTS THAT LAY AHEAD IN CONGRESS WITH DEBT CEILING IN REARVIEW
Authorities are requesting documents from a number of agencies connected to Fagan, including the Oregon Department of Revenue, the Oregon Liquor and Cannabis Commission, the Secretary of State’s Office, and the Oregon Government Ethics Commission, according to “a source briefed on the matter.”
The suspected focus of the investigation is Fagan’s relationship with the firm La Mota and the owners, Rosa Cazares and Aaron Mitchell, as she oversaw the Oregon Liquor and Cannabis Commission.
Fagan resigned on May 2 as Oregon’s secretary of state following the public release of her ties to the cannabis company she was auditing as part of her official duties.
Gov. Tina Kotek called for two investigations into a possible conflict of interest shortly after the press broke the story: One from the Oregon Government Ethics Commission focusing on Fagan’s activity and the other by the state Department of Justice to analyze the audit.
“I am urging the Oregon Government Ethics Commission to immediately investigate this situation,” Kotek said in an April statement. “Additionally, I am requesting that the Oregon Department of Justice examine the secretary of state’s recently released audit of the Oregon Liquor and Cannabis Commission (OLCC) and its cannabis program.”
The Oregon Department of Justice hired a consulting firm to launch an investigation into the audit, according to a Monday report from Willamette Week. Sjoberg Evashenk Consulting was brought on in May, and Oregon will pay the firm $60,000 for the investigation into Fagan’s audit to determine if there was any outside influence.
There are currently no updates on the ethics commission inquiry into Fagan’s actions, but the team will be determining if Fagan violated state rules in her role.
CLICK HERE TO READ MORE FROM THE WASHINGTON EXAMINER
Fagan came under fire for accepting a $10,000-a-month consulting contract with La Mota, the second-largest cannabis organization in the state, and accepting advice for an audit of the company. La Mota’s CEO, Rosa Cazares, and Fagan shared numerous emails about language for the audit.
Although Fagan recused herself from her audit into Oregon’s marijuana program, the language was nearly finalized by the time she stepped away, The Oregonian reports.