NBC 10 I-Team: Former marijuana dispensary executive sues over firing

(WJAR) — A former executive of Greenleaf Compassionate Care Center in Portsmouth has filed a federal lawsuit against the marijuana dispensary, making allegations of retaliation, self-dealing, conflicts of interest and misappropriation of funds.

“I was never reprimanded. I was never given any negative comments or reviews of my work,” said Jeffrey Dieffenbach, former finance director and general counsel for Greenleaf, one of three medical marijuana dispensaries sanctioned by the state of Rhode Island.

After six years of employment, the Newport resident said he was “devastated” when he was fired in January.

He said his boss told him his work was "unsatisfactory” but the lawsuit the 71-year-old attorney and accountant recently filed offers another narrative.

Dieffenbach claims he discovered alleged wrong-doing, spoke up, and was let go for poking around.

“In my opinion, despite their outward demeanor, inward they were driven by ego, self-importance and greed,” Dieffenbach told the NBC 10 I-Team.

In the pages of the complaint, Dieffenbach said he was retaliated against after he raised concerns about what he believes are questionable activities, centering around Greenleaf co-owner Richard Radebach.

The lawsuit alleges Radebach used money from a Greenleaf real estate holding company (Greenleaf Compassion Ventures LLC) to pay for personal expenses, like his own life insurance. The former executive also claims Radebach paid himself and co-owner Dr. Seth Bock substantial bonuses totaling $444,000 last year, in violation of the state's Nonprofit Corporation Act.

Bock earned $1 million in salary last year and Radebach $462,000, from the non-profit medical marijuana shop, according to the lawsuit.

Radebach and Bock did not return multiple requests from the I-Team (both emails and phone calls) for comment.

Dieffenbach said Greenleaf was audited in 2018 and that he was pressured to mislead the IRS.

“When it comes to the point where they’re going to throw me under the bus, or they want me to do things that I don’t want to do and make changes of documents, or whatever it is. I’m not going to budge. I’m going to refuse it and I did,” he told the I-Team.

Dieffenbach alleges Radebach personally threatened him in the parking lot after he questioned certain banking transactions.

“You don’t forget those things if you’ve ever been in a situation when people threaten you. It stays in the back of your mind, but it’s there,” he said.

The lawsuit also alleges age discrimination, disability discrimination, and asks for protection under Rhode Island’s Whistleblower Act.