The website for Agridime, a wholesale supplier of beef and other protein products, has been updated with information regarding charges brought against the company by the U.S. Securities and Exchange Commission. While it’s unclear whether the information on the Agridime site is from the company itself or post at the behest of the courts, the website now provides updates to investors and requests contact and contract information from them.
On Dec. 11, 2023, the U.S. Securities and Exchange Commission accused Agridime of operating a Ponzi scheme. The SEC filed for an injunction that stopped the company from buying cattle or selling securities. The SEC complaint unsealed on Dec. 13 alleges that at least $191 million from over 2,100 investors in at least 15 states may have been diverted to make Ponzi payments.
The takeover of the landing page, now titled “Information on the Agridime Receivership,” provides extensive information on what has happened and breaks many of the developments down by dates, starting in early January.
Most recently, during a hearing on Jan. 5, U.S. District Judge Mark T. Pittman entered a preliminary injunction against Jed Wood, Josh Link, and Agridime LLC. Wood and Link are the owners of the Fort Worth, Texas-based company.
“This order essentially continues for the pendency of the SEC case and holds in place the injunctive relief and asset freeze ordered in the Court’s initial Temporary Restraining Order,” reads the Agridime website.
A post on Agridime’s website from Jan. 23 indicates that Agridimes’ assets fall into four groups: company-owned cattle, meat inventory, company real estate, and company equipment.
Although, it was “found Agridime’s records to be, at a minimum, outdated and inaccurate,” text on the website indicates that the company owns about 8,000 head of cattle at 18 different locations in the Midwest.
On Jan. 8, the company’s website encouraged investors were encouraged on the Agridime website to consult a tax professional regarding investments and how they should be treated for federal tax purposes.
“In light of the SEC’s suit and Agridime’s receivership, many investors have asked how their cattle contract investments should be treated for federal tax purposes,” reads a bullet point on the company’s updated information.
Despite asset freezes, the company’s wholesale and retail meat businesses continue to operate. However, the site indicates that retail sales of meat have been negatively impacted by revelations regarding the operation.
To expand contact information for investors, a web portal has been opened where investors can register their contracts and contact information.
“When we have finalized a preliminary report of what is owed to each investor on pending cattle contracts, we will utilize this information to contact investors and ask them to verify our records against their information,” the Agridime site says.