Medical marijuana regulation needs dramatic overhaul in Colorado, auditors report

DENVER - Colorado's medical marijuana regulations need a dramatic overhaul, auditors said Tuesday.

Colorado's medical marijuana regulations are badly enforced and in need of dramatic overhaul. That's the conclusion Tuesday from a state audit reviewing the Medical Marijuana Enforcement Division.

The audit concludes that Colorado's seed-to-sale tracking of marijuana plants never materialized because the regulators ran out of money to implement it.

Auditors also found that the pot regulators in some cases approved licenses for marijuana businesses that should have been rejected. The audit also identified about $760,000 in underreported sales tax revenue in fiscal years 2011 and 2012.

The Medical Marijuana Enforcement Division is being closely watched because the agency is likely to oversee recreation pot sales, too.

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