(a) A licensee shall notify the Department and local law enforcement within 24 hours of discovery of any of the following situations:
(1) The licensee discovers a significant discrepancy, as defined in section 15034 of this division, in its inventory.
(2) The licensee discovers diversion, theft, loss, or any other criminal activity pertaining to the operations of the licensee.
(3) The licensee discovers diversion, theft, loss, or any other criminal activity by an agent or employee of the licensee pertaining to the operations of the licensee.
(4) The licensee discovers loss or unauthorized alteration of records related to cannabis or cannabis products, customers, or the licensee’s employees or agents.
(5) The licensee discovers any other breach of security.
(b) The notification to the Department pursuant to subsection (a) of this section shall be submitted on the Licensee Notification and Request Form, Notifications and Requests

Regarding Regulatory Compliance, DCC-LIC-028 (New 9/21), which is incorporated herein by reference, and shall include the date and time of occurrence of the theft, loss, or criminal activity, the name of the local law enforcement agency that was notified, and a description of the incident including, where applicable, the item(s) that were taken or lost.

Authority: Section 26013, Business and Professions Code. Reference: Section 26070, Business and Professions Code.

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