IJJ Corporation (IJJP) Announces the Addition of Cannaworx,
Inc. of California to Its Medical Marijuana Acquired Joint Venture
– Contractual Rights of 50% Annual – Income Sharing Program, for
Cannaworx, Inc.
SILVER SPRING, MD - February 12, 2015 - InvestorsHub NewsWire -
IJJ Corporation (IJJP.PK) announces an agreement with
Cannaworx Inc., of California, to provide funding for the expansion
of Cannaworx medical marijuana operations to grow and provide
various strains of medicinal marijuana (MMJ) to licensed
cooperatives, collectives and dispensaries under California State
MMJ guidelines. The agreement entitles IJJ Corporation, and other
entities, collectively, up to 50% of the net income from the
growing, processing and distribution of MMJ in the state of
California. As a result of this transaction, IJJ Corporation’s
share of MMJ income will increase from the previously announced
$2,100,313, annually from other cannabis farming operations, in
exchange for stock to be delivered over time. Among the other
participants are Gear International (“GEAR”)
and Texas Wyoming Drilling (“TWDL”).
Cannaworx plans include the building of multiple greenhouses,
each configured with requisite adaptations for an efficient
operation that includes the growing, processing, and distribution
of medicinal marijuana products. Additionally, Cannaworx will
extract and produce CBD extracts, edibles, and elixirs. Branded and
private label product lines will be created based on the needs of
the marketplace.
“The addition of Cannaworx to our Medical Marijuana expansion
project is another step forward in our program to provide the
funding to non-traditional businesses, enabling these operations to
be more efficient and profitable. “, states IJJ Corporation’s
Chairman and President, Clifford Pope. Mr. Pope continues “These
improvements have a direct impact to their bottom lines which in
turn yields greater revenue streams to IJJ Corporation. We will
continue to pursue opportunities that add revenue streams to IJJ
Corporation and value to our shareholders.”
Forward-looking statement
This press release contains statements which may constitute
“forward-looking statements” within the meaning of the Securities
Act of 1933 and the securities Exchange Act of 1934, as amended by
the Private Securities Litigation Reform Act of 1995. Those
statements include statements regarding the intent, belief or
current expectations of the Company and members of its management
as well as the assumptions on which such statements are based.
Prospective investors are cautioned that any such forward-looking
statements are not guarantees of future performance and involve
risks and uncertainties, and that actual results may differ
materially from those contemplated by such forward-looking
statements. Investors are cautioned that due to the Company’s
acquisition of the right to receive income from marijuana farming
operations, an investment in this Company is extraordinarily risky,
involving a multiplicity of extreme risks, that in some respects
exceed that of any legal investment in the history of investing,
particularly given the conflict of laws and the potential
consequences of that conflict, including very substantial legal
risk of federal prosecution, penalty and imprisonment, as marijuana
is still classified federally as a Schedule 1 narcotic.
Despite recent federal legislation, it remains felony, in
violation of the Controlled Substances Act, to distribute,
cultivate or use marijuana; and the very comprehensive federal and
international anti-money laundering statutes, including: Bank
Secrecy Act (1970), Money Laundering Control Act (1986), Anti-Drug
Abuse Act of 1988, Annunzio-Wylie Anti-Money Laundering Act (1992),
Money Laundering Suppression Act (1994), Money Laundering and
Financial Crimes Strategy Act (1998), Uniting and Strengthening
America by Providing Appropriate Tools to Restrict, Intercept and
Obstruct Terrorism Act of 2001 (USA Patriot Act [Title III of the
USA Patriot Act is referred to as the International Money
Laundering Abatement and Financial Anti-Terrorism Act of 2001]),
Intelligence Reform & Terrorism Prevention Act of 2004. At
least a portion of these provisions expressly include restrictions
upon the use of the banking system to transfer the proceeds of such
investments, which could be viewed as money laundering.
Many take significant comfort in the recent federal spending
bill, defunding the government’s enforcement of federal laws
criminalizing marijuana, not permitting any of the funds available
under the act for use by the Department of Justice to thwart the
efforts of states to authorize the medical use of marijuana.
However, such actions are still prohibited by federal law,
irrespective of the laws of the jurisdiction in which the marijuana
is produced. Indeed, despite its current position, the Department
of Justice could choose to prosecute the Company and its officers,
and all those who may be perceived to have aided and abetted in
this process. Accordingly, there remains a substantial legal risk
of federal prosecution, penalty, forfeiture and imprisonment, and
for a multitude of potential violations. Additionally, the cost of
assuring compliance and the costs associated with otherwise normal
business transactions are substantially enhanced by these
circumstances. Risks also include a very substantial strategic risk
associated with lack of ownership and consequent lack of control
over the subject property and operations, which lack of ownership
and control is mandated by the laws and regulations of the
jurisdiction in which the marijuana is grown.
The risks also include a very substantial economic risk,
including as a consequence of the foregoing recitation of other
risks. It is just such risks that that have prevented the growers
from securing any financing from other sources, over a substantial
period of time. Finally, given the extraordinary return on the
investment, there is even a risk of the financial arrangement being
construed as a “loan”, which may, at least arguably, not be exempt
from applicable usury laws, even though this financial arrangement
is not a loan, let alone a conventional loan, but is in the nature
of risk capital financing/provision of services and real estate and
that the contemplated compensation appears to be, and has been
represented by the pay oars to be commensurate with the
multiplicity and magnitude of the risks, including those as above
identified”.