Friday 27th January 2012

Woman pleads guilty in huge grain fraud case

The northern Missouri woman charged with defrauding farmers out of at least 27-million dollars has pleaded guilty to federal charges. Cathy Gieseker, who ran a grain trucking and marketing company from her home in Martinsburg, pleaded guilty to mail fraud in federal court on Tuesday.

Missouri Agriculture Department Director Jon Hagler says it’s appropriate that Geiseker will receive punishment, but it won’t help the 180 farmers affected by her actions, “They’re gonna get very little return on the dollar. She’s gonna go to jail and she’s gonna pay the price but they’re still gonna be hurt.”

Hagler expects stiff penalties against her, “The level of fraud in this case, which she’s now admitted to – it’s a Ponzi scheme. A person in our department actually said it was “the Madoff of the Midwest” and unfortunately, that’s turned out to be true, in that – that fraud has cost many, many farmers their livelihood. In some cases, it’s altered their lives in ways they won’t be able to recover from.”

State charges against Cathy Geiseker are pending.

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U.S. Attorney’s Office – Eastern District of Missouri

Co. Committee election ballots due Dec. 7

Indiana Farm Service Agency (FSA) State Executive Director Julia Wickard reminds eligible farmers the deadline to submit ballots for FSA County Committee elections is Monday, December 7.

“They (ballots) must be postmarked by December 7th,” said Wickard. “Or as producers are in and out of the fields, and in and out of trucks to and from grain elevators, we encourage you to stop by, visit with your county staff, maybe just do that when you’re working on another program.”

Newly elected County Committee members will take office January 1, 2010.

Analyst: Sell some 2010 corn and beans

Deciding whether and when to forward contract grain and soybeans is always a tough decision. 

However, Chip Flory, editor of Pro Farmer Newsletter, says corn and soybean farmers should consider selling at least some of their 2010 corn and soybean crops at current price levels.   For starters, he says it might make this winter’s meeting with the banker go just a little smoother.

“A lot of these bankers are under some stress right now, because of the debt load held by the livestock industry out there—and the lending standards are tightening up,” explains Flory. “It will do you a world of good if you walk in and you’ve got some $4.00 corn booked and you’ve got some $9.50 beans booked for the fall.  The money might flow your way just a little easier than if you don’t have anything sold at all.”

As for factors influencing the markets, Flory says the number one thing he is watching right now is the money flow coming into the commodity markets.

“Keep a real close eye on gold—I think that’s going to be our barometer,” he says. “We made a new high already this week.  We’ve got plenty of money that’s coming into the commodity world.  If that continues, grains are not going to be left behind.”

Another big market factor in coming weeks, according to Flory, will be the development of the South American crops.

AUDIO: Chip Flory

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Weight limit proclamation extended for IA farmers

Iowa Governor Chet Culver has granted a 30-day extension to original harvest weight limit proclamation for grain hauling on Iowa roads.

The original harvest weight limit proclamation was set to expire on November 29th.  Because of the difficult harvest this year, the Iowa Corn Growers Association requested the 30-day extension to December 29th.

The governor’s action allows farmers to exceed the usual weights for their implements by ten percent per axle.  However, it does not apply to posted limits on all roads and bridges, nor does it apply to grain carts.

Former state senator to receive NEFB award

Former Nebraska state senator Roger Wehrbein of Plattsmouth will receive the 2009 Silver Eagle award from Nebraska Farm Bureau.  It will be presented at the Farm Bureau’s annual banquet in Kearney on December 8th.

Wehrbein served in the Nebraska legislature from 1986 to 2006 and chaired the Appropriations Committee for several years.  His legislative career focused on rural economic development, including a lead role in the adoption of the Beginning Farmer Tax Credit Act.

The Silver Eagle is the Nebraska Farm Bureau’s highest honor.  It recognizes outstanding leadership and distinguished service to the ag industry.

RFA provides Gore with ethanol facts

The Renewable Fuels Association (RFA) wants Al Gore to know that he was right the first time about ethanol and other biofuels.

The former vice president was once a proponent of ethanol.  But in his new book entitled “Our Choice”, Gore now expresses doubts about corn ethanol, saying it is driving up food prices and contributing to global warming. 

RFA CEO Bob Dineen has written a letter to Gore challenging the chapter about ethanol. “His book, for example, notes that it takes about as much energy to produce ethanol as you get out of it,” Dineen says.  “Well, that’s simply not true and we cited numerous studies to the contrary.  And there were many other examples of places in his book where he just had the facts wrong.”

Dineen hopes Gore will revisit his opinion of ethanol.

“This is not your grandfather’s ethanol industry anymore,” says Dineen, “and vice president Gore really needs to come up to speed on just how far the industry, and how far farmers, have come.”

In his letter, Dineen reminds Gore that corn-based ethanol is providing “a strong economic and environmentally sustainable foundation upon which the next generation of biofuels will be built.”

Food Banks need your help

Indiana Farm Bureau presented the Community Harvest Food Bank of Northeast Indiana with a check for $3,200 during their state convention…that’s money that Claudia Johnson says will be put to good use, especially when you consider their need is 30 percent greater than last year.

AUDIO: Claudia Johnson, Community Harvest Food Bank (3:00 MP3)

The future of rural America

Commentary

Each year, the National Association of Farm Broadcasting (NAFB) Foundation presents scholarships with a combined value of $13,000 to three deserving college students in pursuit of careers in agricultural communications. We were honored to have United States Department of Agriculture Secretary Tom Vilsack speak during the luncheon last week honoring those scholarship recipients.

Secretary Vilsack told NAFB scholarship winners that rural America is an extraordinary place to live, work and raise a family. He spoke about the “disturbing trend” in which young people see opportunities elsewhere and leave the rural communities in which they were raised for cities far away.

The Obama administration’s ag chief said, “Rural America is on the cusp of a new day. The most exciting, most profitable days ahead might not be in the cities.”

Speaking directly to the three college students, Secretary Vilsack said, “Your future is in Cap & Trade, broadband expansion, preserving and protecting the climate. People are interested in getting a closer connection to the food supply. That’s the rural America that you can help create.”

As Vice President of the NAFB Foundation, I was seated at the head table between two of the scholarship winners. I didn’t have the opportunity to do so, but what I would have liked to do was pull them aside individually after the presentation and ask them if that is the rural America they want to create.

What about the rural America that exists today? I’ve seen tremendous improvements in farming practices over these past many years. In my opinion, a rural America that preserves and protects the climate already exists and is in a constant state of improvement. Of course there are some bad apples, but what industry does not have a few who? Most of the farmers I know are committed to caring for and improving the land, air, water, livestock, their families and their communities.

It appears to me that those of you who till the land and grow the corn, soybeans, and wheat and those who raise the beef cattle, hogs, goats and sheep, and those always-important dairy farmers have taken a backseat to the so-called “new” green movement of community gardening and farmer’s markets.

Most of the farmers I talk with do not want climate legislation that means higher fuel, fertilizer and energy costs. Most farmers do not want handouts. They do not want to “farm for the government.” They do not want or need more regulations! As good stewards of the earth, and ultimately the climate, they have the ability to grow a safe, affordable and abundant supply of food and fiber while strengthening the rural economies across this great country.

They want the freedom to be prosperous.

The secretary went on to say that rural America needs the values, strength and passion of these young people. I agree wholeheartedly. It is what the secretary failed to say that bothers me.

AUDIO

Should you begin selling some 2010 corn and beans?

That was one of the questions being discussed on a marketing roundtable in Omaha, Nebraska this week.  One of the panelists was Sue Martin, president and owner of Ag & Investment Services of Webster City, Iowa.  Martin believes farmers should consider marketing some of their 2010 crop at these price levels.

MFP for 11-27-09

The future role of microbiological seed treatments

In the past, microbiological seed treatments have been considered inconsistent due to a lack of knowledge and technology.  Tom Johnson, president of TJ Technologies, is working to change that perception.  He says the technologies they have developed bring stability and consistent performance to those organisms.

johnson-tom-TJ Technologies-NAFB 11-09