Release No.: 081-18
WASHINGTON, June 22, 2018 – The Agricultural Marketing Service (AMS) issued a complaint against Edmond Shackleford Rochelle, doing business as Ford Rochelle (Rochelle), Nash, Texas, for alleged violations of the Packers and Stockyards (P&S) Act.
AMS conducted an investigation, which revealed that in 15 transactions from Jan. 27, 2016, through Dec. 20, 2017, at two Louisiana auction markets, in the course of his dealer operations, Rochelle purchase 418 head of livestock in the approximate amount of $243,419 and failed to pay, when due, the full purchase price of the livestock. Section 409 of the P&S Act requires that when purchasing livestock at auction markets, livestock dealers must issue payment to the markets no later than the close of the next business day following the sale in which they made the purchases. Failure to pay for livestock purchases, or pay in accordance with section 409, is an “unfair practice” and a violation of section 312(a) of the P&S Act. When a livestock dealer fails to pay an auction market, or pay the market timely, it jeopardizes the market’s ability to pay livestock sellers timely, if at all.
In four of the 15 transactions, Rochelle wrote checks for which there were insufficient funds in the account, and as such, Rochelle’s bank returned these checks unpaid. These checks totaled approximately $83,313. At the time of the complaint, all four checks remained unpaid.
The complaint also alleged that Rochelle failed to keep and maintain records from livestock auction markets concerning his purchases and sales of livestock. He also failed to maintain bank statements, checks and other bank records for the checking account used for his livestock dealing business. Section 401 of the P&S Act requires that livestock dealers keep and maintain records that fully and correctly disclose all the transactions in their business.
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 Brett Offutt, Fair Trade Practices Program, Packers and Stockyards Division, at (202) 720-7051, or by email at s.brett.offutt@ams.usda.gov.
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