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The Ontario Cannabis Store has removed certain CannTrust Holdings Inc. products from its online and at physical outlets until Health Canada completes its investigation involving pot cultivation in unlicensed rooms.

“Due to the Health Canada temporary hold on certain CannTrust cannabis products, Ontario Cannabis Store has voluntarily removed all affected products from distribution through and to the authorized retail stores pending the outcome of the investigation,” spokesman Daffyd Roderick said in an e-mailed statement on Wednesday.

He added that customers who ordered the products will be eligible for a refund if returned in original unopened condition within 14 days of delivery, but did not specify which products have been affected.

Health Canada said Monday it discovered that CannTrust was growing cannabis at its Ontario greenhouse in rooms that had not yet been approved, and that employees provided “false and misleading information” to inspectors.

The Ottawa-based agency added that it seized product and obtained samples for further testing.

CannTrust said Monday that it was notified by Health Canada that it had found cannabis cultivation in five unlicensed rooms at its facility in Pelham, Ont., between October, 2018, and March, 2019, before receiving the appropriate licences in April, 2019.

The licensed producer said Health Canada put 5,200 kilograms of its cannabis on hold, while it voluntarily put an additional 7,500 kg on hold at its Vaughan, Ont.-based facility.

The company added that some of the product that originated from the unlicensed rooms had been sold.

CannTrust’s Danish partner said Tuesday that one batch of products received from the licensed producer was linked to the unlicensed rooms. Stenocare added that the “very small” batch had been quarantined for potential destruction pending Health Canada’s investigation and it has been in touch with the Danish Medicines Agency about the matter.

Health Canada said CannTrust has until July 18 to respond to the regulator’s report, which found the company was not in compliance with certain regulations. The regulator said it will then review the information provided and determine the appropriate compliance and enforcement action, which could include the suspension or cancellation of a federal licences or administrative monetary penalties of up to $1-million.

Shares of CannTrust were down by nearly 11 per cent Wednesday on the Toronto Stock Exchange to $4.22, after falling more than 20 per cent on Monday.

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