U.S. drops price-fixing charges against chicken executives after mistrials

Pilgrims Pride

31/03/2022 22:22

WASHINGTON, March 31 (Reuters) - The U.S. Justice Department
asked a federal court in Denver on Thursday to drop price-fixing
charges filed against five executives of chicken producing
companies after two mistrials in the case focused on competition
in the $65 billion poultry sector.
    The department, however, did not drop charges against five
other defendants. Judge Philip Brimmer of the U.S. District
Court for the District of Colorado ordered Jonathan Kanter, the
head of the U.S. Justice Department Antitrust Division, to
appear before him and explain why the case should be retried.
    The government dropped charges against Timothy Mulrenin, who
worked at Tyson foods at the time; William Kantola, who was in
sales at Koch Foods Inc, Jimmie Little, a former salesman at
Pilgrim's Pride, Gary Brian Roberts, who was at Tyson  TSN.N  as
a sales executive at the time, and Rickie Blake, who was at
George's Inc.
    This was done "in an effort to streamline the case and
conserve the resources of the court, the parties, and the
public," the department said in a court filing. 
    The remaining five defendants are two former Pilgrim's Pride
chief executives and one salesman, as well as two Claxton
Poultry Farms executives.
    The court documents allege industry executives conspired to
fix chicken prices from 2012 through 2019.
    Tyson in 2020 said it was cooperating with the Justice
Department's investigation under a corporate leniency program
that could protect the company from criminal prosecution. 
    Also in 2020, U.S. poultry company Pilgrim's Pride Corp
agreed to pay a $110.5 million fine after striking a plea deal
with the Justice Department over price-fixing charges on chicken
products. Pilgrim's Pride is mostly owned by Brazilian
meatpacker JBS SA.  JBSS3.SA .

 (Reporting by Diane Bartz; Editing by Aurora Ellis)
 ((Diane.Bartz@thomsonreuters.com; 1 202 898 8313;))