Illinois firm withdraws lawsuit over marijuana permit

May 19, 2015

  An Illinois company has withdrawn the first lawsuit against the state challenging the way officials dispensed medical marijuana business licenses. The Chicago-based PM Rx company says it has agreed to dismiss all its claims against the state and a rival company, Cresco Labs. Cresco had won a permit to grow medical marijuana in a state police district that covers Ford, Iroquois and Kankakee counties, but PM Rx challenged the way the Department of Agriculture issued permits. A statement from the company says the decision to withdraw the lawsuit followed an "extensive factual investigation" and the death of PM Rx's CEO, Andrew James. The marijuana program has been troubled by questions about background checks and how former Gov. Pat Quinn's administration conducted the process of selecting the winning businesses.