USDA Settles Lawsuit With Enumclaw Auction Pavilion

ENUMCLAW, WA — The U.S. Department of Agriculture earlier this month settled its case with an Enumclaw-based livestock auction house after discovering the company, Enumclaw Sales Pavilion (ESP), was in violation of the Packers and Stockyards Act.

ESP, doing business as the Cascade Cattle Company of Enumclaw, Washington, entered into a stipulation agreement with the USDA and paid $1,600 for the alleged violations. The USDA said the company had shortages in its custodial account that's used to pay livestock sellers.

The USDA reportedly found shortages of $7,929 on March 31 and $24,886 on April 30 of this year. When custodial accounts have shortages companies risk not paying livestock sellers in a timely way or at all, in some cases, USDA officials said.

According to the USDA, the Packers and Stockyards Act gives the Secretary of Agriculture the authority to issue up to $28,061 in civil penalties per violation.

Enacted in 1921, the Packers and Stockyards Act was established to "To protect fair trade practices, financial integrity, and competitive markets for livestock, meats, and poultry," according to the USDA's Grain Inspection, Packers and Stockyards Administration.

The act has been amended numerous times since its inception — most recently in 2008. Click here for more information on the act. And for more information from the USDA, visit ams.usda.gov.

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Image via Jean Lotus/Patch