Release No.: 129-19
WASHINGTON, Oct. 23, 2019 – As part of its commitment to ensuring fair and competitive markets for the livestock, meat and poultry industries, on Sept. 22, 2019, the U.S. Department of Agriculture (USDA) entered into a stipulation agreement with Twin Lakes Calf Company, LLC (Twin Lakes) for alleged violations of the Packers and Stockyards (P&S) Act. Under the terms of the stipulation agreement, Twin Lakes waived its right to a hearing and paid a penalty of $4,480.
An investigation by USDA’s Agricultural Marketing Service during January 2019 revealed that Twin Lakes failed to pay timely for livestock purchases totaling $12,740 from Jan. 2, 2019, through Jan. 23, 2019.
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 pay timely 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 investigation also revealed that Twin Lakes failed to maintain and provide complete records to fully and correctly support livestock dealer transactions for the business. Entities subject to the P&S Act are required to keep and fully disclose accurate records regarding all transactions involved with their business when requested by AMS.
The P&S Act authorizes the Secretary of Agriculture to assess civil penalties up to $28,061 per violation against any person after 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 quickly resolve alleged violations.
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 email@example.com.
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