Washington - As part of its commitment to ensuring fair and competitive markets for the livestock, meat and poultry industries, on Sept. 29, the U.S. Department of Agriculture (USDA) reached a consent decision with Stardale Farms LLC (Stardale) and Kevin Beachy (Beachy) of Dundee, Ohio, for alleged violations of the Packers and Stockyards (P&S) Act.
An investigation by USDA’s Agricultural Marketing Service (AMS) revealed that between May 21 through Oct. 2, 2020, in 30 transactions, Stardale and Beachy failed to pay timely for 1,157 head of livestock totaling $925,057. Payments ranged from 5 to 33 days late. In addition, Stardale and Beachy issued nine insufficient funds checks for purchases.
Under the consent decision, Stardale and Beachy are ordered to cease and desist from failing to pay the full amount of the purchase price for livestock within the required time period, issuing non-sufficient financial instrument for livestock purchases and maintaining adequate records. Stardale and Beachy were assessed a $8,000 civil penalty.
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 and paying for livestock with financial instruments with non-sufficient funds are unfair trade practices and are violations of the P&S Act.
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 Roesch, Packers and Stockyards Division, at (303) 375-4291, or by email at kraig.roesch@usda.gov.
Source: U.S. Department of Agriculture Agricultural Marketing Service