Release No.: 128-19
WASHINGTON, Oct. 4, 2019 – As part of its commitment to ensuring fair and competitive markets for the livestock, meat and poultry industries, on Sept. 30, 2019, the U.S. Department of Agriculture (USDA) issued a complaint against Christopher Matthew Klaiber (Klaiber) of Willow Wood, Ohio, for alleged violations of the Packers and Stockyards (P&S) Act.
An investigation by USDA’s Agricultural Marketing Service during April and May 2018 revealed that Klaiber failed to pay timely for livestock purchases totaling $339,618 and failed to pay the full purchase price for $263,735 of this total. The investigation also revealed that Klaiber issued three checks for livestock purchases totaling $214,242 without sufficient funds to support the payment of those checks.
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 failure to issue the full payment for purchases is an unfair trade practice and a violation of the P&S Act.
Klaiber will have 20 calendar days following receipt of the complaint to respond directly to the USDA Administrative Law Judge or be found in violation and subject to penalty.
The P&S Act authorizes the Secretary of Agriculture to assess civil penalties up to $28,061 per violation against any person after the notice and opportunity for hearing on the record. If the allegations are admitted or proven in an oral hearing, Klaiber may be ordered to cease and desist from violating the P&S Act and assessed a civil penalty.
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 Stuart Frank, Packers and Stockyards Division, at (515) 323-2586, or by email at stuart.frank@usda.gov.
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