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US Obtains Consent Decree Against Chinatown Retail Seller for Violating Federal Meat Inspection Act
Audrey Strauss, the United States Attorney for the Southern District of New York, and Paul Kiecker, Administrator of the U.S. Department of Agriculture’s (“USDA”) Food Safety and Inspection Service (“FSIS”), announced the entry of a consent decree against defendants YIN GONG CORP. and YONG XING WANG (“Defendants”) for violations of the Federal Meat Inspection Act at Defendants’ places of business in New York, New York’s Chinatown.
U.S. Attorney Audrey Strauss said: “Consumers should be able to have confidence in the safety of the food they buy. Here, Defendants repeatedly sold uninspected pork products to retailers in violation of the Federal Meat Inspection Act, designed to ensure that...
What Does Prop 12 Mean for Egg, Veal, and Pork Producers in 2022?
Set to begin on January 1, 2022, there has been much pushback and controversy surrounding the State of California’s Proposition 12: The Farm Animal Confinement Initiative, which California residents first voted to pass in 2018.
Under the new rule, veal calf producers are required to provide their animals with at least 43 square feet of usable floor space per calf. Sows must have a minimum of 24 square feet of usable space per animal and laying hens are required to be cage-free. Prop 12 prohibits the sale in California of meat, poultry, and eggs not raised in compliance with these regulations. Many industry participants and producers have voiced concerns that Prop 12 could...
NAMI to Supreme Court: Prop 12 Not Beneficial to Consumers and Increases Sow Mortality
The North American Meat Institute (the Meat Institute) said the State of California’s Proposition 12 (Prop 12 or the law) provides no benefit to consumers and increases breeding sow mortality according to the State’s own proposed rule.
“The recently proposed rule by the California Department of Food and Agriculture (CDFA) admits there are no benefits to Californians as a result of Prop 12. CDFA admits deaths of breeding sows will increase. Both are unintentional consequences of a costly and unconstitutional law,” said Julie Anna Potts, President and CEO of the North American Meat Institute. “Our petition to challenge the law has the support of more than...
Two Individuals Charged for Their Roles in Massive Cattle Ponzi Scheme
A federal grand jury in Colorado returned an indictment that was unsealed Tuesday charging an Illinois woman and a Georgia man with running a Ponzi scheme that raised approximately $650 million from investors across the country.
According to court documents, Reva Joyce Stachniw, 69, of Galesburg, Illinois, and Ron Throgmartin, 57, of Buford, Georgia, were charged with running a Ponzi scheme, along with a third co-conspirator, Mark Ray, from late 2017 until early 2019. Ray was previously charged by criminal information for his role in...
Washington Man Pleads Guilty to $244 Million Ghost-Cattle Scam
A Washington man pleaded guilty to defrauding Tyson Foods Inc. (Tyson) and another company (Company 1) out of more than $244 million by charging them under various agreements for the purported costs of purchasing and feeding hundreds of thousands of cattle that did not actually exist.
According to court documents, Cody Allen Easterday, 49, of Mesa, used his company, Easterday Ranches Inc., to enter into a series of agreements with Tyson and Company 1 under which Easterday Ranches agreed to purchase and feed cattle on behalf of Tyson and Company 1. Per the agreements, Tyson and Company 1 would advance Easterday Ranches the costs of buying and raising the cattle. Once the cattle were slaughtered and sold at market price, Easterday Ranches would...
US Pork Supply Chain Locked in Limbo as Producers Await Legal Ruling
The US pork supply chain faces significant disruption in 2022, when California’s animal welfare regulations (Proposition 12) take effect. With less than 4% of US sow housing currently able to meet the new standard, Rabobank expects a shortfall in compliant pork to bifurcate the US market, leaving California with a severe pork deficit (and high prices), while generating a surplus in the rest of the US market.
“Producers are reluctant to make the costly investments needed to comply with the new regulation, unless compensated with long-term premium guarantees. Packer processors and end users are unwilling to enter into long-term supply arrangements, given outstanding legal challenges to the California rule and...
NAMI Asks Supreme Court to Review Case Against California’s Prop 12
The North American Meat Institute (Meat Institute) filed a petition for a writ of certiorari asking the Supreme Court of the United States to review an earlier ruling of the U.S. Court of Appeals for the Ninth Circuit in the Meat Institute’s challenge to the constitutionality of California’s Proposition 12: The Farm Animal Confinement Initiative (Prop 12 or the law). The Meat Institute opposes the law because it is unconstitutional and will hurt the nation’s food value chain by significantly increasing costs for producers and consumers. The petition may be found here, appendix here.
“Prop 12 hurts the family on a budget by causing higher prices for pork, veal and eggs, and unfairly punishes livestock producers outside of California by forcing them to...
NAMI’s Challenge of California’s Prop 12 Receives Key Support
The North American Meat Institute’s (Meat Institute) lawsuit challenging the constitutionality of California’s Proposition 12 (Prop 12) received key support from the federal government and 20 states with the filing of two amicus briefs.
The U.S. Department of Justice filed an amicus brief in support of the Meat Institute’s petition for rehearing en banc in the U.S. Court of Appeals for the Ninth Circuit.
In addition, the States of...
Tyson Foods Completes Waterloo Investigation
An independent investigation into wagering allegations at Tyson Foods’ pork plant in Waterloo, Iowa, has led to the termination of seven plant management employees.
“We value our people and expect everyone on the team, especially our leaders, to operate with integrity and care in everything we do,” said Tyson Foods President & CEO Dean Banks. “The behaviors exhibited by...
Tyson Foods Issues Statement on Waterloo Lawsuit Allegations
Tyson Foods, Inc. issued the following statement from Tyson Foods President & CEO Dean Banks in response to allegations made in an amended lawsuit involving the company’s pork plant in Waterloo, Iowa:
“We are extremely upset about the accusations involving some of the leadership at our Waterloo plant. Tyson Foods is a family company with 139,000 team members and these allegations do not represent who we are, or our Core Values and Team Behaviors. We expect every team member at Tyson Foods to operate with...
Pilgrim’s Announces Agreement with DOJ Antitrust Division
Pilgrim’s Pride Corporation today announced that it has entered into a plea agreement with the United States Department of Justice Antitrust Division in respect to its investigation into the sales of broiler chicken products in the United States. In the plea agreement, which is subject to the approval of the United States District Court of Colorado, Pilgrim’s and the Antitrust Division agreed to a fine of $110,524,140 for restraint of competition that affected three contracts for the sale of chicken products to one customer in the United States. The agreement does not recommend...
Cal-Maine Foods Lawsuit Dismissed in State of Texas
Cal-Maine Foods, Inc. issued the following statement regarding dismissal of the State of Texas lawsuit alleging that the Company engaged in price-gouging during the COVID-19 pandemic.
"The Company’s motion to dismiss was granted on August 13, 2020, in the District Court of Harris County, Texas, and therefore the original petition has been dismissed with prejudice. We are grateful the Court dismissed with prejudice all claims brought by...
A Look at Sustainability in Minerva Foods’ Operations
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