Gold Flora LLC / Black Lion Farms LLC / GF Distribution LLC / Gold Flora Partners LLC
Federal False Claims Act complaint over pandemic loans to cannabis companies in California
Not yet reviewed by our editors. This entry reports what the cited sources say; it may change as we check it. How we check
This entry is about the United States — not the country you picked in the header.
According to U.S. Department of Justice (U.S. Attorney’s Office, Southern District of California), Jul 10, 2026 · Read the source
- Where
- California, United States
- First reported
- Last checked
Summary
In July 2026 the U.S. Attorney's Office for the Southern District of California announced a False Claims Act complaint against the founder of several cannabis companies. The government alleges she obtained five pandemic-related federal loans, including $1.4 million in Paycheck Protection Program loans and their forgiveness, for Gold Flora LLC, GF Distribution LLC, Gold Flora Partners LLC and Black Lion Farms LLC, collectively the Gold Flora Companies.
According to the release, the loan applications certified that the businesses were not involved in illegal activity, while the companies cultivated, distributed and sold recreational cannabis, which is illegal under federal law. The office adds that the companies have filed for receivership in a California state court. The claims are allegations; the suit began as a whistleblower action and the outcome is not reported.
What the source found
- Complaint under the False Claims Act announced 10 July 2026; originated as a qui tam whistleblower suit in which the United States intervened.
- Government alleges $1.4 million in PPP loans and forgiveness obtained by false certification.
- Named entities: Gold Flora LLC, GF Distribution LLC, Gold Flora Partners LLC, Black Lion Farms LLC.
- Release says the companies are in receivership in California Superior Court.
Products named
- cannabis cultivation, distribution and retail
Timeline
Complaint announced
Sources
- Court
U.S. Department of Justice (U.S. Attorney’s Office, Southern District of California) · Jul 10, 2026
United States Files False Claims Act Complaint Against Founder of Cannabis Companies for Illegally Obtaining Pandemic Loans
Wording on this page follows the sources. Found an error? See the corrections process in our editorial policy.
Status notes
[dataset] DOJ/FTC official press release, read and summarised by hand 2026-09-30
Comments
No comments yet.
Related entries
The full Red List925 Market INC
925 Market INC
NYC Sheriff summons for a cannabis violation by a place of business
Nugz LLC
Nugz LLC
Named in an OMMA administrative action (destruction) filed September 22, 2026
10802a Roosevelt Avenue DBA S
10802a Roosevelt Avenue DBA S
NYC Sheriff summons for a cannabis violation by a place of business
Tell us what happened
Every report is read by a person. You don’t need to prove anything, and we never publish your name.
- A moderator reads your report and checks the link against the Red List and our seller records.
- We look for an authoritative source — a regulator, court, police or consumer-protection finding.
- When a source confirms it, your report is linked to a Red List entry. Your name and contact details stay private.