The USDA reached a Consent Decision against Daniel Baranzini, Carlos Plascencia and Sonoran Cattle LLC in February, highlighting the company’s failure to pay livestock dealers on time.
“Sonoran failed to pay when due as required by the Act in 19 transactions consisting of 941 head of cattle purchased for $642,339,” the USDA press release said. “Payments ranged from three to 39 days late. In addition, Sonoran failed to pay the full purchase price of livestock in 42 transactions totaling $2,656,703.”
The Consent Decision ruled that Sonoran must pay the full price on time when buying livestock. Sonoran must also pay a civil penalty of $62,500, which can be reduced if other debts are paid within three years.
The Decision also limits Sonoran’s capacity to operate for three years under the Act’s requirements. If Sonoran pay’s their past debts to livestock dealers in less than three years, then the limitations on Sonoran’s business activity will be lifted.
The P&S Act was passed in 1921. The law promotes fair and competitive marketing, buying, and selling across bovine, poultry, and swine industries. The law followed the 1919 Federal Trade Commission report that focused on the meatpacking industry and Upton Sinclair’s 1906 novel, The Jungle, which shed light on the industry to popular audiences.
