USDA Issues Packers and Stockyards Complaint and Notice of Hearing Against 7 S Packing, LLC, d.b.a. Texas Packing Company

Date: 
Wednesday, August 21, 2019 - 9:00am
Contact Info: 

Release No.: 110-19

WASHINGTON, Aug. 21, 2019 – As part of its commitment to ensuring fair and competitive markets for the livestock, meat and poultry industries, on Aug.12, 2019, the U.S. Department of Agriculture (USDA) issued a Complaint and Notice of Hearing against 7 S Packing, LLC, doing business as Texas Packing Company (7 S Packing) of San Angelo, Texas, for alleged violations of the Packers and Stockyards (P&S) Act.

An investigation by USDA’s Agricultural Marketing Service revealed that 7 S Packing failed to pay the full purchase price for livestock purchases totaling $5,544,092 from March 1, 2018 through Dec. 31, 2018. Additionally, 7 S Packing failed to timely pay for 466 head of livestock, totaling $262,147 from Jan. 14, 2019 through Jan. 30, 2019.

The P&S Act requires subject entities to issue full payment for livestock by the close of the first business day following purchase and transfer of possession. Failure to issue the full payment for purchases is an unfair trade practice and a violation of the P&S Act.

7 S Packing will have 20 calendar days following receipt of the Complaint and Notice of Hearing to respond directly to the USDA Hearing Clerk’s Office 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, 7 S Packing 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.

Get the latest Agricultural Marketing Service news at www.ams.usda.gov/news or follow us on Twitter @USDA_AMS. You can also read about us on the USDA blog.

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