Yup.
For a moment, I thought he'd made synthonol (that's one for Star Trek fans), but your explanation makes much more sense.
Here's the background:
UK drugs law places drugs on 3 levels of illegality.
Class 1 (e.g. heroin): very illegal. Strict punishments for possession.
Class 2 (e.g. marijuana): illegal. If you're caught with a small quantity, you'll probably be let off with just a caution.
Class 3 (e.g. body-building steroids): illegal to sell. Legal to possess in small quantities.
The law requires the Secretary of State, under the advisement of a panel of experts, to classify drugs according to the level of harm they cause. David Nutt was on that panel.
The panel advised, among other things, that marijuana should be moved to Class 3. And, for a time, that was what happened. It was actually legal to smoke marijuana in the UK. Then the government changed its mind, and moved marijuana back to Class 2. The panel resigned in protest. David Nutt complained especially loudly, and started comparing the risks of MDMA to horse-riding and so on.
Apologies for any errors. This is just from memory.