THE FORMER GENERAL MANAGER OF A SIOUX CENTER GRAIN COOPERATIVE WHO DIRECTED HIS ASSISTANT MANAGERS TO BLEND OATS INTO SOYBEANS HAS BEEN SENTENCED TO FEDERAL PRISON.
76-YEAR-OLD KENNETH EHRP OF DAKOTA DUNES, SOUTH DAKOTA WAS SENTENCED TO THREE MONTHS IN PRISON IN A PLEA AGREEMENT FOR CONSPIRACY TO COMMIT A PROHIBITED GRAIN PRACTICE.
EHRP ADMITTED TO HAVE AGREED WITH CALVIN DIEHL AND OTHERS TO ADD LOWER VALUE OATS TO SOYBEANS AND SELL THE MIXTURE AS SOYBEANS.
AS PART OF THE GRAIN BLENDING SCHEME, DIEHL AND OTHER INDIVIDUALS ACTING AT EHRP’S DIRECTION LIED AND GAVE FALSE CERTIFICATES TO USDA INSPECTORS.
THEY LAYERED SOYBEANS ON TOP OF OATS IN STORAGE BINS AND TRUCKS TO DECEIVE THE INSPECTORS AND CUSTOMERS ABOUT THE QUALITY AND QUANTITY OF THE GRAIN, AND MADE FALSE ENTRIES AND ADJUSTMENTS IN REPORTS PROVIDED TO THE GRAIN WAREHOUSE’S BANK.
EHRP WAS ALSO FINED $50,000 AND ORDERED TO PAY $4,090 IN COURT COSTS.
EARLIER THIS YEAR, CALVIN DIEHL WAS ALSO SENTENCED TO THREE MONTHS’ IMPRISONMENT FOR HIS ROLE IN THE GRAIN BLENDING SCHEME.
