Addless Localol: D3023 Onawa ON. K1A 0K9 September 9. 2015 WARNING LETTER Sub'fll: Illegal Sale and Adve ng of Mali'uana The sale and advertising ol maliluana is illegal, The ac Compassion Club Socier is advertising lor sale marijuana contrary to the Food and Drugs Act (FDA) and the Narcotic Control Regulations (NOR), You are encouraging Canadians to engage in conduct that could also expose them to criminal liability. Health Canada is requiring. 1. You immediately suspend all activities with controlled substances, it the BC Compassion Club Socier does not immediately cease all activities with controlled substances. we will contact, within an days ol the date ol this lerter, the Royal Canadian Mounted Police lor enlorcement action as they deem necessary, and 2. Submit a written statement indicating that the ac Compassion Club Socier will not conduct any activities with these substances without a valid licence. The original copy of your written response signed must be received in this Ollice by SeEember 21 2015. With the passage ol Bill 017 (Vanessa's law) on November 6. 2014, there are increased lines and penalties lor regulatory olfences under the FDA. including a maximum penalty of $5.000,000 or 2 years in prison or both. Additionally, a person who knowingly makes a lalse or misleading statement to the Minister ol Health or who knowingly or lecklessly causes a serious risk ol inyury in contravening the Act or its regulations could face a higher fine or up to five years in jail, at the discretion ol the coun. The Mari/maria tor Medical Purposes Regulations (MMPR) deline advertisement, as does the FDA and the NCR. to include any representation by any means whatever lor the purpose ol promoting directly or indirectly the sale or disposal of a drug in the case of the FDA, or a narcotic with respect to the MMPR and NCR. The Controlled Drugs and Substances Act (CDSA) prohibits any person from engaging in activities such as production. provision, sale (including oliering lor sale, import, export. transpon, delivering ol controlled substances unless authorized under its Regulations). In addition, in accordance with subsection 12(1)(a) of the MMPR, a licensed producer may possess, produce, sell, provide, ship, deliver, transport and destroy marijuana, including viable seeds. Therefore, you must apply to be a licensed producer to be authorized under these regulations to conduct the above-mentioned activities with marijuana. Should you have any questions, please do not hesitate to contact us at 1 866-337-7705 or by email at CMC@hc-sc.gc.ca. Sincerely, Office of Medical Cannabis Health Canada 2