Missouri Bill Strengthens Standards for Grain Dealers
JEFFERSON CITY (AP) -- Grain dealers would have to comply with more stringent financial standards under legislation passed after two northern Missouri cases of alleged grain fraud.
Legislation given final approval Friday would require dealers to maintain a net worth of at least 5 percent of their annual grain purchases. It also doubles the minimum surety bonds they must have. And it expands their financial reports to the state.
The legislation comes a couple of years after grain dealers in Gallatin and Martinsburg became insolvent. One dealer received federal and state sentences after pleading guilty to fraud and
stealing. Charges of stealing and filing false financial statements are pending against another dealer.
The bill also creates a program letting retiring farmers give their land to the state to be leased to young farmers.