Livestock Dealer Statutory Trust.

Discuss the things that affect the cattle industry.
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slick4591
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Livestock Dealer Statutory Trust.

Post by slick4591 » Fri Jun 21, 2019 11:02 am



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Re: Livestock Dealer Statutory Trust.

Post by greybeard » Fri Jun 21, 2019 10:06 pm

The proposal:
https://www.regulations.gov/document?D= ... -0037-0001

The regs they are referring to and explanation of packer trust:
https://www.law.cornell.edu/uscode/text/7/196
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Re: Livestock Dealer Statutory Trust.

Post by Chocolate Cow2 » Sun Jun 23, 2019 10:16 pm

In my area, a sale barn defaulted on customer sales checks for their last two sales. It has been said there are $2.5 million in bad cattle checks in the hands of angry producers. The barn owners filed for bankruptcy and are facing 31 Federal Indictments. None of this would have happened if Packers & Stockyards had done their job. This barn had been repeat offenders of abusing their custodial account. They'd been fined 3-4 times with each fine progressively larger. Because the barn owners basically laughed at the fines and P&S, they challenged the system more by opening accounts at many banks and floating bad checks from bank to bank.
https://www.hayspost.com/2019/06/12/auc ... 4m-owed-2/

There's been another sale barn in my area that's ruffled feathers but I don't know who or what.

Hays Feeders (Feed lot) was recently foreclosed on but the owner filed bankruptcy and the yard was returned to him through bankruptcy laws.

All these things have made local banks very hard to work with. They've put a lock on their money and you've got to jump through hoops, sign away your first born, document everything and promise on your Mother's grave you have no bad intentions.

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