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FORM P583323

mm United States Department of Agriculture
GRAIN INSPECTION, PACKERS AND STOCKYARDS ADMINISTRATION

AFFIDAVIT

FOR USE IN ANY PROCEEDING OR ACTION
UNDER THE PACKERS AND STOCKYARDS ACT, 1921,
AS AMENDED AND SUPPLEMENTED (7 U.S.C. 181 et seq.)

STATE 0F #4 3532351 #31717"

 

SS:

 

Vvvuw

COUNTY OF 561077,
ill) (6). 

 

BE FORE Ml?,

 

an employee of the United States Department of Agriculture, designated by the Secretary of
Agriculture under authority of the Act of January 31, 1925, Statt 803, 7 2217,

personally appeared

    

(HRH. Loom-$81

who deposes and says:

Pa 
(1st Interim) Page 568 of 163



14-

 


I, am over the age of 18 years and I am otherwise
competent to make this statement. I own and operate two farms:
and 1b) (b (7N0) I am African?American. I have been growing chickens

under contract for Koch Foods of Mississippi, LLC (?Koch?) for approximately 10

years.

 

2018-AMS-01797-F (1st Interim) Page 569 OHM

 

.A A 

49?: ?Wv?r' 

422m~muw1?wma nu- eat;

.1 

1-, 1? 

., .2

337%?;

On .9) (6). WC) have three

chicken houses measuring 40 feet?by 400 feet. One of those houses was built in
1995, and two of them were built in 1990. On -, I also have
three chicken. houses measuring 40 feet by 400 feet. Those three houses were built,
in approximately 1980. All six of my houses are of tunnel design with cool cells.
But for not having automated controllers at a cost of about $3,000 per house, all six
houses would be considered premium houses by Koch Foods, for whom I have
grown both small and large birds. The chickens raised on my farm for Koch Foods
of Mississippi, LLC have been processed at the Morton, Mississippi,
plant. Koch terminated. the contract that I had to raise birds on

in ab) . Koch stopped placing birds in my three houses on 1;

 

farms after made all improvement required of me by Koch, SUpposedly

 

because my compost shed was not certi?ed by a government agency. Koch

continued to make additional and changing demands for upgrades in my chicken

houses.

Theconcems that I have about Koch Foods are as follows:

1. Unfair termination. have been ?nancially ruined by Koch?s continued
and changing demands for upgrades in my houses. I could not pay my

debts and mortgage payments without getting birds to grow. But I could

(lst Interim) Page 570 of 485


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2018-AMS-01797-F (1 st Interim)

not afford to continue to make the upgrades required of me by Koch to

get birds placed on my faint.

. Termination ibuwwxm contract. In 2006, at 


- who was Koch?s at the
time, told me that Koch wanted him to give poultry growers a hard time,
but that he was going to try to help the growers. 119(5)! gave me a
list of upgrades and improvements that I should obtain to insure that I

continued to receive birds at 1b) (7N0) . Although I spent

 

approximate] to make the improvements to (63' lb) (7MB)
b) (6). (7M0)

I never got another bird at that farm.

 

Koch?s 

(6). m) (7)

   

b) (5): (DIWICJ (North), came out to meet with me at

  
 

 

291(6), (13} had told me to

 

and told me that he did not care what
do, and stated that he was not going to honor W?s representation that I
would continue to get birds if I made the recommended upgrades and
improvements. told me in a derogatory manner that had a
coople of ya?ll when I was at Sanderson.? I believe that was
making a racial slur, and I asked him what he meant. He did not answer
me. In the February 2007, notice of termination letter that was sent to me

from WI (WNW Koch claimed that 

terminated for failure to comply with Koch?s housing speci?cations. The

no (THC) was being

   

Page 571 of 386

2018-AMS-O1797-F (1 st Interim)

letter, however, was not speci?c and failed to state what he had failed to

. .
0 MS lie/?3 

. Time between ?ocks. I sometimes Mia-d two to three months between

?ocks. Other growers o?en had layover times as short. as 14 days.

. In 2007, lb) (7), who was then my assigneW, told

me that I would not receive another ?ock of birds until I had the electric
power line removed over my houses at The
power line had been there for about 15 years, and had caused no
problems of any kind. The power line was not located near my feed bins.
Also, the feed trucks did not go under the power line, so there was no
hazeu'd involved with the feed trucks. In order to get another flock of
birds, I paid approximately $6,000 to have the power line removed and

installed underground.

. I spent about $150,000 to get my chicken houses in shape to enter into a

contract with Koch. In, 2009, I spent approximately $50,000 on my
chicken houses to make upgrades and improvements
required by Koch, but I never received any birds after spending that
money. Koch stated that I would not get any birds because my compost
shed had fallen down due to damage from a snow storm. My insurance

company refused to pay to rebuild the compost shed, so I had to pay

Page 572 of 397

52%;


. Unfair control exerted through ?ock?to~?ock contracts.

2018-AMS-01797-F (1st Interim)

approximately $5,000 to have it rebuilt. iblie'l- with Koch
stated that my compost shed had to be approved by a governmental
agency, but when I contacted that agency in Jackson, Mississippi, I was
told that their approval was not required and that the agency sends an

agent out once per year to inspect sheds.

 

told me that Koch had a preference for ?ock-to?

 

?ock contracts because if Koch wanted something to be done on a farm,
it could force the farmer to do whatever was wanted in order for the

farmer to get another ?ock.

. I have, in the past, obtained loans for the upgrades and improvements to

my chicken houses through the Community Bank in Forest, Mississippi.
Due to the fact that I was told that the Community Bank was getting out
of the business of making loans for poultry growers, I sought a loan from
the People?s ?Bank rm (MS) to upgrade my houses so that I could

get ?premium? housing pay from Koch. (bl at the "People's

ab) (6), lb) (7)ch to request that my contract with Koch

   

Bank contacted

be extended for two years to cover the period of the loan. (At that time I

was in the third year of a ?ve-year contract, but the loan period was four

called ?33) lb) mic) she reported to me that

years.) When as 

 

Page 573 of 408

nun-m.- .1422: 

. 


Interim)

had cursed at her. Koch sent a letter to the People?s Bank which
.
merely stated that my contract with Koch would end in two years, and as

a result, my loan application was denied. lb) to my knowledge,

still works at the People?s Bank.

. In 2007, (Koch Service Technician) told me that 
I

was being terminated as a poultry grower because he had called
the Packers and Stockyards PrOgram to complain about Koch. I believe
that told me this, in part, to threaten and intimidate me and to

make me hesitate before calling Packers and Stockyards to complain

about Koch?s practices.

. I had alarms installed in my driveway so that I would be alerted when a

feed truck entered my preperty. I had some concerns about whether feed
was be ing properly delivered to my farm, When a feed truck came onto
my property, I would go to my chicken houses to insure that feed was put
into my feed bins. On one occasion in 2007, I discovered that a contract
truck driver, who was dn?ving a truck for in
Raleigh, Mississippi, had failed to put one whole bio of feed into my feed

(7)

   

bins. Based on. my insistence, 32(6). lb) put the feed into my bin. I

confronted him about this, and also called ~bll5lv llelCl at Koch to

Page 574 of 163

- A . 'ilerb??lepiith 

?upv?m: fr: h" 


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complain. minimized my complaint, and said that?
I

had probably just forgotten to put the .feed into my bin.

10.In 2007, at (bl (7K0) a feed truck driver named 

conversed with me about the possibility of my buying additional

   

no 





told me that buying

 

feed for the birds in my chicken houses. 1 
additional feed could raise my rankings among other growers. I told 
man that I was interested in purchasing additional feed on the side, and
(5): 

he said that he would talk with at the of?ce and get

   

back with me. -, who to my knowledge resided. in Forest,
Mssissippi, never got back with me. I believe that my work history as a
Sheri ff?s Deputy may have frightened or others against offering to

sell m?additional feed.

?Sometime shortly a?er M, -

Ullcl

    

who worked in the Koch office, spoke with me 
M. During that conversation, I
told me that she had been instructed to change the paperwork on a week?s
settlements so that a particular grower was ranked number one, and that

she was told what. to change to obtain the desired result. She quit her job

at Koch because of this falsi?cation.

2018-AMS-01797-F (1st Interim) Page 575 of 1330

 (5): (W WC) came to see me and

   

12-Shortly a?er?,
told me that he wanted to purchase my farm, 

(5). (7X0)
ab) (5). 03) 



Koch, has purchased the farms of two poultry growers for Koch who

   

13. It is my understanding that

were terminated and who, consequently, lost their farms. The purchase
prices were repertedly deeply discounted, and he may have obtained
?nancing through the Community Bank in Forest, Mississippi.
14.Followin_g Koch?s decision to step placing birds on my farms, I have
hit-,- tried to sell my farms. I have both farms (and my residence) listed for
sale with_ of Century 21 Real Estate. reported. to me
that cursed at her when she contacted him about
statements that he reportedly made to a possible purchaser from Florida
(reportedly stating that my farms had been neglected by me, that] was
lazy, and that $100,000 in improvements to my houses were required).
Wreportedly told_ that the bank had foreclosed on my farms,
which was false. I believe that is unfairly interfering

with my ability to sell my poultry farms.

(The rest of this page is left intentionally blank.)

w. 

(1st Interim) Page 576 of 437

2:9. -

 
t, 
3?

This statement consists of [0 pages of which this is page g. to have read the
foregoing statement and it is true and correct. 1 give such statement freely and voluntarily,
without threats or promises having been made, knowing that it. may be used in the
administration of the Packers and Stockyards Act, 1921, as amended, and the regulations

thereunder.

1b) (WC)

 

(5). (7M0)

 
   




SUBSCRIBED AN SWORN TO beefare me at

 

 

f5; ?4 2?9 on this Lea/m
day Of 1 20 

 

 

. f-d-iei??mr?mi Smli?s De
dmsignehcd pursuant to law to administer truths,

Authorization Nu. Z-

ESS:

    

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