SALEM, Ore. (AP) — Oregon Secretary of State Shemia Fagan is in hot water as Republican lawmakers have demanded she resign and the Democratic governor has called for an investigation into her taking a job as a consultant to a Marijuana related firm.
Fagan said in a statement Friday that he welcomed the investigation requested by the governor. “I am relieved that the Governor has asked the Department of Justice and the Government Ethics Commission to conduct an inquiry because the facts will restore confidence in our audit division and in me as your Secretary of State,” Fagan said.
The matter came to a head Friday after Fagan’s office released an audit by state marijuana regulatory authorities, the Oregon Liquor and Cannabis Commission (OLCC) said. .
The audit proposed that the OLCC “reform” some provisions on marijuana deals because they pose, it said, “burdens” when combined with federal restrictions on interstate commerce, banking and tax collection.
Fagan, a Democrat, recused herself from the audit because she was a paid consultant to a subsidiary of the marijuana retailer La Mota, spokesman for the official, Ben Morris, said at a virtual news conference on the audit document.
The La Mota co-founder has organized fundraisers for top Democratic politicians in Oregon, including Fagan, but the co-founder, her partner and their business reportedly owe $1.7 million in unpaid bills and more in taxes. state and federal, according to the Portland Willamette Week newspaper.
Fagan did not participate in the news conference, which was attended by his spokesman, his deputy and the director of audits. Willamette Week was the first outlet to report on Fagan’s employment as a consultant. The official has not revealed how much she is paid for her consultancies.
Morris denied that Fagan’s outside employment constituted a conflict of interest, noting that Oregon Government Ethics Commission rules specifically allow officials to retain employment in the private sector.
