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170 KY Beef Producers Win Restitution from Eastern Livestock

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Derek Balsley-Wikimedia Commons

Four executives of Eastern Livestock have entered guilty pleas in court, and will be ordered to pay restitution to 170 beef producers they de-frauded. Kentucky Attorney General Jack Conway says the pleas were entered in Barren-Metcalfe Circuit Court.

 Attorney General Conway told Kentucky Public Radio, " we’ll get nearly a million dollars paid in restitution. We’ve identified all of the farmers who were scammed by this in the Attorney General’s Office, and we will be contacting them to refund the  restitution distribution to them.” The Attorney General says the four executives will be sentenced in Barren-Metcalfe Circuit Court in June.

 Eastern Livestock founder Tommy Gibson and former Chief Financial Officer Steve Mc Donald are facing ten years  in prison, which will run concurrent to any Federal sentence they receive. Former Eastern Livestock accountant Darren Brangers of Louisville and former Eastern Livestock affiliate Grant Gibson of Lanesville, Indiana, are each facing five years in prison, probated upon the repayment of restitution.

Prosecutors say  the Eastern Livestock executives falsely inflated accounts to buy cattle from Kentucky beef producers with what amounted to non-existent funds.

News Director Dan Modlin is a native of Indiana who grew up in a broadcasting family. A graduate of Ball State University, he worked for several years in the news network business in the Midwest, specializing in agricultural and political coverage, before coming to WKU Public Radio. His reports have earned numerous national and state awards for documentary production, public affairs reporting, and enterprise reporting.
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