Post by iowa55 on Nov 10, 2011 19:57:45 GMT -5
Missouri couple pleads guilty to grain fraud
November 9, 2011 By Julie Harker
A Missouri couple has pleaded guilty in federal court to charges in a grain fraud case that cost farmers more than $3 Million. Daniel and Pauline Froman of Gallatin, Missouri owned Gallatin Grain Company, which stored and bought grain from northwest Missouri farmers.
Each has admitted to defrauding 100 of those farmers in a scheme to pay their own debt – which came to light in early 2009. The Missouri Department of Agriculture has collected $400-thousand in assets from the Fromans – which has been distributed among those farmers. But the remaining loss is more than 2-point-nine Million dollars.
Under the plea agreement, Mrs. Froman faces up to five years in federal prison and Daniel Froman faces up to 20 years. Together, they face as much as $500-thousand dollars in fines.
The Gallatin case was one of two grain fraud cases in the state of Missouri in 2009 that, combined, cost farmers nearly $32 Million which led to changes in Missouri law.
November 9, 2011 By Julie Harker
A Missouri couple has pleaded guilty in federal court to charges in a grain fraud case that cost farmers more than $3 Million. Daniel and Pauline Froman of Gallatin, Missouri owned Gallatin Grain Company, which stored and bought grain from northwest Missouri farmers.
Each has admitted to defrauding 100 of those farmers in a scheme to pay their own debt – which came to light in early 2009. The Missouri Department of Agriculture has collected $400-thousand in assets from the Fromans – which has been distributed among those farmers. But the remaining loss is more than 2-point-nine Million dollars.
Under the plea agreement, Mrs. Froman faces up to five years in federal prison and Daniel Froman faces up to 20 years. Together, they face as much as $500-thousand dollars in fines.
The Gallatin case was one of two grain fraud cases in the state of Missouri in 2009 that, combined, cost farmers nearly $32 Million which led to changes in Missouri law.