The company behind the application, MMJ BioPharma Cultivation, is now preparing to challenge the ruling in federal court and call for the judge’s recusal.
The ruling was issued by DEA Chief Administrative Law Judge John Mulrooney II, who dismissed the company’s bid for a marijuana bulk manufacturing license after more than six years of delays. MMJ BioPharma said the decision came without warning and without any opportunity to present evidence or respond to agency claims—calling it a “procedural ambush.”
“This isn’t regulation—it’s an illegal ambush,” said MMJ CEO Duane Boise, who said the company had complied with all requirements under the Controlled Substances Act and FDA pathways.
MMJ, which is developing cannabis-based medicines for Huntington’s disease and multiple sclerosis, submitted a legally binding supply agreement in March 2024 with a DEA-licensed Schedule I facility. The agreement included specific sourcing protocols, defined volume, and DEA Form 222 compliance. Despite that, Mulrooney’s June 16 ruling ignored the document entirely and blocked it from being entered into the record.
Boise accused the DEA of demanding the agreement and then refusing to acknowledge it once submitted. “The agency cannot demand a document, receive it, then declare it irrelevant behind closed doors,” he said.
The order also reversed a previous determination by another administrative judge that certain disputed facts warranted a hearing. Instead, Mulrooney cited internal communications from a DEA investigator that MMJ was never allowed to challenge or respond to—raising concerns of ex parte communications and due process violations.