SAN FRANCISCO (KTVU) - E-cigarette manufacturer Juul Labs announced they are actively ending their support for proposition C, a pro-vaping measure, in San Francisco on Monday.
The exact reason why they made the announcement remains unclear. Following in the company's footsteps, the 'Yes on C campaign' said they will end their campaign too.
The company's new CEO, K.C. Crosthwaite, who was appointed just last week, reiterated himself and said the SF founded and headquartered company needs to work with "regulators, policymakers and our customers."
When taking over the position from former CEO, Kevin Burns, Crosthwaite said the company had to, "earn the trust of the societies in which we operate."
Prop. C will go to the polls on November 5. Juul was recently subject to scrutiny following the release of information about how much the company has been spending to support Prop. C on the ballot.
"There's an alarming uptick in lung diseases, lung injuries among young people. This is no joke. Nobody is doubting that this is a serious thing. We have to take a time out," said Matt Dorsey with the No on C campaign.
Last week, the San Joaquin County District Attorney announced it's investigating Juul for false advertising, and deceptive ads targeting teens.
Prop. C would allow for the sale of electronic cigarettes and other vaping products if several conditions are met. One of those would require retailers to scan a photo ID to verify how old any potential purchaser is before the sale. Purchasers would have to be 21 years old or older.
As of last week, they had spent $12 million to support the measure that would overturn the SF Board of Supervisors' ban on the sale of e-cigarettes.
Juul's statement said they will remain committed to the city. "San Francisco is not only the home of our company's founding but is also the home of many of our talented employees," Crosthwaite, the big tobacco veteran wrote.
The director of the No on Prop. C campaign is skeptical of Juul's announcement. In a statement, Larry
Tramutola said, "Until they return the $7 million unspent dollars that is in their political account, until they suspend their mail, their advertising, their paid phone calls and lay off their consultants, we do not believe them."
Bay City News contributed to this report.