CLOSING at Rubashkins' Meat and Chicken, Today, Monday 9/8/08 as of appro. 12:00 Noon

[Mashgiach]

Agriprocessors Officials Plead Not Guilty

Updated: Sep 17, 2008 03:31 PM EDT

September 17, 2008 (AP)--Agriprocessors officials have pleaded not guilty to thousands of charges of child labor law violations.

None of the defendants appeared in person on Wednesday in Allamakee County District Court, instead entering written pleas.

The hearing was the initial appearance for six defendants: the plant's owner, Aaron Rubashkin; former plant manager Sholom Rubashkin; the plant's human resources manager, Elizabeth Billmeyer; and Laura Althouse and Karina Freund, who are management employees in the human resources division. Agriprocessors, Inc. also is charged in the case.

Because the charges are misdemeanors, the defendants are allowed to waive their right to a court appearance.

The next step will be setting a date for trial.

http://www.whotv.com/Global/story.as...&nav=menu100_2

[Mashgiach]

"The move came as rumors spread throughout the kosher food industry that Agriprocessors was in its “death throes,” with little likelihood of lasting until the High Holy Days, according to an industry source."
Empire Striking Back At Agriprocessors?

Leading poultry producer may compete for the kosher beef market.

by Stewart Ain
Staff Writer

The embattled giant kosher meatpacker Agriprocessors was on the verge of hiring a new CEO this week, one week after its owners and managers were charged by the state with violating child labor laws.

And there were new indications this week that Empire Kosher Poultry, the world’s largest kosher chicken producer, was poised to take on Agriprocessors in the kosher beef business. Empire has been working with the Baltimore-based Star-K, a kosher certifying group, to examine the possibility of opening a meatpacking operation in Wichita, Kan.

Elie Rosenfeld, an Empire spokesman, said his company began exploring this option earlier this year.


“We’re talking to different partners and vendors about how we might build a beef program,” he said.


Avrom Pollak, president of Star-K, said


Empire Poultry “made their first production” of beef one day last week in Wichita under a lease arrangement with A.D. Rosenblatt Glatt Kosher Beef.


“It was a start,” Pollak said. “They do plan to become a major player in the [meat] market.”

Rosenfeld insisted, however, that no final decisions have been made.

But one knowledgeable source said it was believed that Empire was looking to get even with Agriprocessors for its decision to start kosher poultry slaughtering, cutting into Empire’s market share.


The decision by Agriprocessors to hire a new CEO at its Postville, Iowa, plant came in response to a demand by the Orthodox Union, its kosher certifier. The OU had threatened to withdraw its services in about two weeks unless the owners agree to hire an outsider as CEO. Agriprocessors has been run as a family affair by owner Aaron Rubashkin.


The move came as rumors spread throughout the kosher food industry that Agriprocessors was in its “death throes,” with little likelihood of lasting until the High Holy Days, according to an industry source.


Since a May 12 raid at the plant when nearly 400 illegal immigrant workers (some underage)— about half the workforce — were arrested, the plant’s operation has been crippled. Despite hiring substitute employees, its meat production has remained at only about half its pre-raid levels, according to Menachem Lubinsky, a company spokesman. That has resulted in kosher beef shortages nationwide.


Meanwhile, the kosher meat shortage is driving up the price of meat. Lubinsky said prices have increased by about 15 percent and that “some retailers are taking advantage and putting a premium on everything they sell.” He said he has heard that prices may jump another 15 percent by the end of the month and the start of the High Holy Days.


Lubinsky said Agriprocessors is trying to fulfill its orders nationwide as best as possible.

Butchers in South Florida and parts of California just got their first delivery in two weeks.

Locally, Jerry Feldwood at Woodbury Kosher Meats in Hicksville, L.I., said that since May the price of meat has jumped as much as $1 a pound.

“It’s very scary,” he said, adding that he has to “beg” his Agriprocessor supplier for product.


“I used to buy $2,000 worth of meat five days a week,” Feldwood said. “Now deliveries come once a week. Instead of getting 10,000 pounds a week, I get about 1,000.”


Rabbi Chaim Schwartz of the Vaad Harabonim of Queens, a kosher supervisory organization, described the kosher meat shortage as “severe” and said that butchers tell him they don’t know when supplies will arrive.


Rabbi Meir Goldberg of the Vaad Harabbannim of Flatbush, said that despite the shortage “shelves are not empty but prices are higher.”

“I don’t remember the last time it’s been this acute,” he said.

[Mashgiach]

Two Agriprocessors HR employees indicted



By Lynda Waddington 9/17/08 7:10 PM

Two human resource managers at Agriprocessors, the kosher meatpacking plant in Postville that was the site of a massive May 12 immigration raid, were indicted today by a grand jury.

Karina Freund, 29, of Fayette, and Laura Althouse, 38, of Postville, are now scheduled for arraignment Sept. 24.

Althouse, now formally charged with aiding and abetting document fraud and aiding and abetting aggravated identity theft, worked in the human resources department and had duties related to payroll at Agriprocessors, according to court documents.

The original complaint stated that on May 11, the day before Immigration and Customs Enforcment raided the plant, Althouse was in the plant and helping employess complete new job-related documents and applications with newly acquired false identities.

If convicted on all charges, Althouse faces a mandatory minimum sentence of two years and a possible maximum sentence of 12 years in prison, a $500,000 fine, a special assessment of $200 and four years of supervised release.

Freund is now formally charged with harboring and aiding and abetting the harboring of undocumented aliens. The original complaint filed with the court alleged that she worked in the human resource department and that several undocumented alien employees at Agriprocessors have implicated her in helpng them obtain falsified documents.

If convicted, Freund faces a possible maximum sentence of five years in prison, a $250,000 fine, a special assessment of $100 and three years of supervised release.

Three other members of management at Agriprocessors have had complaints filed against them in federal court. Two of those cases resulted in plea bargains. The third complaint remains sealed while officials search for former plant supervisor Hosam Amara.

The company, Althouse, Freud and three other company officials — Aaron Rubashkin, Sholom Rubashkin and Elizabeth Billmeyer — face state charges on possible violation of child labor laws.

[Mashgiach]

Most independent observers are amazed at continued blunders made by Rubashkin in trying to rehabilitate his failing business, yet every time he makes a move, he proves further that he does not intend to improve the true credibility of his company.

Rubashkins latest move was to pretend to hire an independent COE to run the business, his family lawyer, someone with absolutely zero experience in running meat business.

This move is viewed widely to be used for PR purposes only while this new CEO does not plan to move to Iowa and the Rubashkin's will continue to run all operations behind the scenes while the Lawyer's name will be used as "CEO".

Nothing tangible is expected to change in any meaningful way.

http://www.desmoinesregister.com/app.../NEWS/80918024