USDA Settles a Packers and Stockyards Case Against Ganaderos Borges Inc.

Date
Monday, November 9, 2020 - 1:00pm
Contact Info
Release No.
175-20

WASHINGTON, Nov. 9, 2020 – The U.S. Department of Agriculture (USDA) entered into a stipulation agreement with Ganaderos Borges Inc. (Ganaderos) of Naguabo, Puerto Rico, on September 2, 2020, for alleged violations of the Packers and Stockyards (P&S) Act. Under the terms of the stipulation agreement, Ganaderos waived its rights to a hearing and paid a penalty of $11,000.

An investigation by USDA’s Agricultural Marketing Service (AMS) revealed that from March through September 2019, Ganaderos failed to pay livestock sellers within the time required by written credit agreements.

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.

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. USDA may offer alleged violators the option of waiving their right to a hearing and enter into a stipulation agreement to resolve alleged violations quickly.

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 Jeana Harbison, Packers and Stockyards Division, at (202) 720-7051, or by email at Jeana.M.Harbison@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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