WASHINGTON, April 23, 2025 – The U.S. Department of Agriculture (USDA) entered into a stipulation agreement with Belle Fourche Livestock Market LLC, of Belle Fourche, S.D., on March 17, 2025, resolving alleged violations of the Packers and Stockyards (P&S) Act. Under this agreement, Belle Fourche Livestock Market waived its right to a hearing and agreed to pay a civil penalty of $2,500.
A USDA Agricultural Marketing Service investigation revealed that Belle Fourche Livestock Market had custodial account shortages of $132,087 on April 30, 2024, and $213,067 on May 31, 2024. The custodial account shortages were partly due to Belle Fourche Livestock Market’s failure to reimburse the account for uncollected receivables by the close of the seventh day following a livestock sale.
A custodial account is a trust account required for handling proceeds from the sale of livestock. The market agency maintains this account to benefit livestock sellers. Failing to reimburse the custodial account on time is a violation of the P&S Act and its regulations.
The Secretary of Agriculture has authority under the P&S Act to act against violators, including issuing orders to cease and desist, suspending registrations, and applying other appropriate remedies as authorized by the Act. The USDA may also offer alleged violators the option to waive their right to a hearing and enter into a stipulation agreement to resolve the suspected violations quickly.
For information about the P&S Act, contact Amy Blechinger, Packers and Stockyards Division, at (202) 720-7051 or at Amy.R.Blechinger@usda.gov.
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