In a courtroom drama that has finally reached its climax, a California federal judge has ordered four individuals and a web of companies to pay nearly $67 million over a massive cannabis investment scam that prosecutors say never grew a single plant.
The SEC $67M Weedgenics Fraud Case unfolded like a cautionary tale of smoke and mirrors, with investors lured by promises of state-of-the-art cannabis cultivation sites that, according to regulators, were pure fabrication.
Federal Judge Slams Down the Gavel
U.S. District Judge John W. Holcomb handed down final judgments this week, spelling financial ruin for alleged scheme architects Patrick Earl Williams and Rolf Max Hirschmann (who also went by “Max Bergmann”), along with relief defendants Tyler Campbell and Michael Delgado.
Hirschmann faces the steepest bill — nearly $39 million, including $20.4 million in disgorgement with interest and a $10.8 million civil penalty. Williams owes over $16.5 million, stemming from disgorgement, prejudgment interest, and a separate $7 million fine.
Campbell and two related entities must return more than $4.2 million, while Delgado and his affiliates were ordered to disgorge nearly $7.4 million.
