The U.S. Department of Agriculture (USDA) entered into a stipulation agreement with Mohammad Aziz (Aziz), East Rosharon, Texas, on June 19, 2021, for alleged violations of the Packers and Stockyards (P&S) Act. Under the terms of the stipulation agreement, Aziz waived his right to a hearing and paid a civil penalty of $2,500.
An investigation by USDA’s Agricultural Marketing Service revealed Aziz operated as a livestock dealer without maintaining bond coverage and failed to timely pay for his livestock purchases. He purchased 56 head of livestock over 15 sale dates from March through May 2019, ranging from two to 26 days late. The P&S Act requires subject entities to issue the full payment for livestock by the close of the first business day following purchase and transfer of possession. Failure to timely pay for livestock purchases is a violation of the P&S Act.
The P&S Act authorizes the Secretary of Agriculture to assess civil penalties up to $29,270 per violation against any person after notice and opportunity for hearing on the record. USDA may offer alleged violators the option of waiving their right to a hearing and enter into a stipulation agreement to quickly resolve alleged violations.
The P&S Act is a fair-trade practice and payment protection law that promotes fair and competitive marketing environments for the livestock, meat, and poultry industries.
For further information about the Packers and Stockyards Act, contact Kraig J. Roesch, Packers and Stockyards Division, at (202) 720-7051, or by email kraig.roesch@usda.gov.
