Postville, IA – The Agriprocessors meatpacking plant in Postville has halted production, and its leaders are awaiting the outcome of a bankruptcy hearing before deciding what to do next. The plant has struggled to survive in the wake of an immigration raid last May. It stopped slaughtering cattle a few weeks ago, but it had continued processing chickens until last week.
Among its many challenges are the fact that its biggest lender has sought foreclosure; that its former top executive was jailed last week on a federal bank-fraud charge; and that it filed for bankruptcy earlier this month.
Chaim Abrahams, an Agriprocessors manager who has served as a company spokesman, said today that the plant had stopped production. Abrahams said he was at a bankruptcy court hearing in New York. On the line was a request that the company be allowed to pay bills, including last week’s payroll, so it could continue operations.
Agriprocessors’ main lender, First Bank, has asked the bankruptcy court not to allow the meatpacker to spend money until its debts to the bank are cleared up. In court papers filed Friday, Agriprocessors said it needs to remain in operation while it talks to potential investors. A cash-flow freeze, the company said, “will cause irreparable harm to other creditors and leave (Agriprocessors) with no choice but to immediately cease all active operations.”
The company offered assurances to First Bank that its money would be repaid, but it said it needs to spend close to $1 million to pay its bills, including more than $300,000 for paychecks for line workers and rabbis who oversee production of kosher meat.
Sholom Rubashkin, who ran the plant for decades, was arrested Friday on a federal bank-fraud charge. The charge alleged that he moved company money around in a way that allowed Agriprocessors to draw down more than it was entitled to from a $35 million line of credit from First Bank.
Rubashkin was replaced earlier this year by a new chief executive officer, New York attorney Bernard Feldman, who was at the bankruptcy court hearing today.
(Source: Des Monies Register)
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16 Responses
This is really sad that Rubashkin halted its production. I hope that things go well and that they open again really soon. It is shaming to see this happening in a Jewish/frum community.
what are we going to do for meat meal mart rubaskins whats next empire chas vshalom hashem help us plz
you are back dated there was another ruling a couple of hours ago. go find out.. theyre starting to operate again
I wish them a lot of luck with the troubles they have created for them salves but we resolved to purchase Empire only!!
The whole town of Postville was profiting from this plant. These Mossrim are happy to ruin it for a whole town, just to hurt a few Jews. And they are so righteous about it!
#4, how in the world?
They were operating the plant circa 1990’s where the gov never blinked on factories with foreign workers. So now that the tunes are changing against these workers, he got caught in a lose/lose situation!
Instead of supporting them with all one’s might, why do peopla bash them for no good reason?
One of the major SIMONIM of yiden is we are Rachmonim bnei Rachmonim ! (Yes, the gov has enough prosecutors to stand up for laws being violated, we yiden didn’t come to this world for this purpose!)
רבותי לאמער אלע טאן תשובה
און מיר זאל אלע זוכה זיין צו די גאולה שלימה בקרוב בימינו אמן
The only people to survive the destruction of Sodom where those who aided the ILLEGAL ALIENS!!!
Another example as to why a formal education in Business along with understanding business halacha is important.
#9
Very well written!!
# 4 iib002
Not only are you arrogant, but you are ignorant as well.
# 12: Amen and may Hashem have more rachmonus on you when your time comes, than you have on the Rubashkin family.
# 14, of course its the Aibishters will.
But, when chas vshalom you fall on hard times, do you want me to say “That is Hashem’s Will” or do you want me to turn over worlds to help you?
Be honest, if your ch’v sick, go bankrupt, kidnapped, or 10 other lesser things do you want us to help you or to blame it on Hashem?
Hashem has His cheshboinois and we have ours. Maybe Hashem wants to see who is willing to step up to the plate for his brother/sister?
#15, yochi.
I am no expert but it is my impression that while we should never want anyone to have hard times, that when, heaven forbid, hard times hit someone, only the loftiest of tzaddikim can actually feel it to not only be Hashem’s will, but also a blessing. Of course, one must do deep introspection and face the challenges according to His will.
17 Flatbusher,
We probably agree more than we disagree.
We KNOW that this comes from Hashem and we KNOW that Rubashkin made mistakes.
That eing said, it does not mean that we do not have to scream and shout to save them. If someone falls into the water without a life vest, will you say lets not save them since they did not wear a life vest?
If someone overeats and has a heart attack will we say that they should have eaten less and they caused the attack?
NO!!!!
They were wrong, but they are my brothers and not withstanding the Aibishters cheshboinois, we NEED to whatever we can to save the family, save the community (75 frum families living in Postville) and also help hundreds of thousands of frum and frei Yidden get kosher meat and chicken (outside the big Jewish communities).
Lastly, even you will not tell me that the punishment fits the crime. Yes they wronged, but come on, so do thousands of other companies. There is added pressure in our case coming from the unions and peta and these are not my opinions but its what lawyers “in the know” are saying.
The guy is being treated like a mass murderer. When was the last time a white collar criminal was treated that way? NEVER!!
# 18
Couldn’t agree more with you.
WHAT HAPPENED TO THE AHAVAS YISROEL THE GENERATION THAT SURVIVED THE SHOAH HAD?
Where did it all go?