USDA settles two Packers and Stockyards cases
USDA enters into two separate stipulation agreements.
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Photo courtesy of Christoffer Borg Mattisson/Pixabay
Vernon Inman II
The US Department of Agriculture entered into a stipulation agreement with Vernon Inman II of Celleoka, Tenn., on Feb. 25, 2025, which resolved alleged violations of the Packers and Stockyards Act. Under this agreement, Inman waived its right to a hearing and agreed to pay a civil penalty of $4,000.
A USDA Agricultural Marketing Service investigation revealed that between Dec. 2023 and March 2024, Inman failed to pay timely for 21 livestock transactions involving 378 heads of cattle totaling $466,128. Payments were made to three livestock markets from one to 42 days late.
The P&S Act requires livestock dealers to issue full payment due to livestock by the close of the first business day following purchase and transfer of possession. Failure to issue payment timely for livestock purchases is a violation of the P&S Act.
The secretary of agriculture has authority to act against violators, including issuing orders to cease and desist, suspending registrations and applying other appropriate remedies as authorized by the act. The USDA may also offer alleged violators the option to waive their right to a hearing and enter into a stipulation agreement to resolve the suspected violations quickly.
Ronne L. Ervin dba 5e Cattle Co.
The USDA entered into a stipulation agreement with Ronnie L. Ervin d.b.a 5e Cattle Co. of Eureka Kan., on April 8, 2025, for alleged violations of the Packers and Stockyards Act. Under the terms of the stipulation agreement, Ervin waived his rights to a hearing and paid a civil penalty of $3,000.
An investigation by USDA’s Agricultural Marketing Service revealed that between July 13 and Oct. 23, 2023, Ervin failed to pay timely on 24 livestock purchases totaling more than $1.88 million. Payments were made from three to four days late
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 is a violation of the P&S Act.
The P&S Act authorizes the secretary of agriculture to assess civil penalties, up to $31,459 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.
Source: USDA AMS
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