USDA Reaches a Consent Decision and Civil Penalty with Colby Livestock Auction LLC and Leland R. Wilson for P&S Act Violations

Monday, June 22, 2020 - 10:00am
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WASHINGTON, June 22, 2020 – As part of its commitment to ensuring fair and competitive markets for the livestock, meat and poultry industries, on June 9, 2020, the U.S. Department of Agriculture (USDA) reached a consent decision with Colby Livestock Auction LLC (Colby) and Leland R. Wilson (Wilson) of Colby, Kan., for alleged violations of the Packers and Stockyards (P&S) Act.

An investigation by USDA’s Agricultural Marketing Service (AMS) resulted in the issuance of an administrative complaint on Dec. 17, 2019, against Colby and Wilson. The review disclosed Colby and Wilson failed to properly use and maintain its custodial account, causing shortages of $75,955 on Aug. 24, 2016, and $10,919 on Sept. 29, 2016. The shortages in Colby’s custodial account were due, in part, to failure to deposit into the custodial account an amount equal to the proceeds received from the sale of consigned livestock as required by the P&S Act regulations.

Under the consent decision, Colby and Wilson were jointly assessed a civil penalty of $3,750. In addition, Colby and Wilson, as well as their agents and employees, shall cease and desist from failing to maintain Colby’s custodial account and/or operating with a custodial shortage in strict conformity with the 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 Stuart Frank, Packers and Stockyards Division, at (515) 323-2586, or by email at


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