Tribe’s Partner in Marijuana Venture Faces Fiscal Challenges

FLANDREAU, S.D. (AP) — When the Flandreau Santee Sioux Tribe announced an agreement with an outside business for advice on how to grow and sell marijuana on its land, it touted the consultant's experience advising other groups and that it's a publicly traded company.

But documents filed by Colorado-based Monarch America Incorporated with the U.S. Securities and Exchange Commission show its auditor expressed "substantial doubt" over its ability to continue operating.

Tribal President Anthony Reider says officials knew of Monarch's financial challenges but chose it because the company was willing to sign a short-term deal and sought a smaller share of profits than other consultants.

Monarch CEO Eric Hagen tells the Associated Press the company is "in a good position currently" and efforts to raise the revenue are going "very well."

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