Cannabis company Bloom Farms can’t close on a new financing round pending litigation of claims that its board cooked its books to dupe an investor, but it can continue to market the buy-in as long as it discloses the lawsuit, a Delaware judge ruled.
Vice Chancellor Morgan T. Zurn issued the temporary restraining order Tuesday, modifying a June 26 preliminary bench ruling in favor of plaintiff Jeff A. Menashe, who has also accused the company of concealing the role its former chief financial officer played in a $1 billion solar energy Ponzi scheme.
Menashe got a seat on the board ...