SEC Says Cannabis Pill Maker Ran $2M Securities Fraud

By Katryna Perera (September 28, 2021, 7:52 PM EDT) -- The U.S. Securities and Exchange Commission on Tuesday filed suit against the makers of the cannabis pill Idrasil, alleging that C3 International Inc. and its co-founders raised approximately $2 million from more than 40 investors by selling stock in the company through misrepresentations, omissions and false statements.

The SEC alleged in a complaint filed in California federal court that C3 and its co-founders Steele Smith and his wife, Theresa Smith, made false statements to investors from 2014 to 2019 about Idrasil's patent status, the likelihood that insurance companies would reimburse for Idrasil and that investor funds would be used for business purposes....

Stay ahead of the curve

In the legal profession, information is the key to success. You have to know what’s happening with clients, competitors, practice areas, and industries. Law360 provides the intelligence you need to remain an expert and beat the competition.

  • Access to case data within articles (numbers, filings, courts, nature of suit, and more.)
  • Access to attached documents such as briefs, petitions, complaints, decisions, motions, etc.
  • Create custom alerts for specific article and case topics and so much more!


Hello! I'm Law360's automated support bot.

How can I help you today?

For example, you can type:
  • I forgot my password
  • I took a free trial but didn't get a verification email
  • How do I sign up for a newsletter?
Ask a question!