Cedar Rapids, IA – Prosecutors at Sholom Rubashkin’s financial fraud sentence hearing argued today that the former eastern Iowa slaughterhouse manager’s actions cost the plant’s lenders $26.9 million.
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Defense lawyers countered that the total loss was far less, suggesting through their questions that the bank could have sold $11 million in inventoried meat products to recover some of the money.
Rubashkin lawyer F. Montgomery Brown also suggested that the amount of money loaned to the bank when a federal fraud investigation began — $20 million — was “pristine money” with no evidence that it was tied to the plant’s fake sales records.
Special Agent Randy Van Gent, a prosecution witness, testified at the hearing that the plant’s former lender, the St. Louis-based First Bank, had lost $26.9 million in debt that the plant was unable to repay.
An FBI Agent Randy Van Gent testified an Israeli company withdrew its $40 million bid for a troubled Iowa kosher slaughterhouse because of concerns with the plant’s bookkeeping.
The Israeli company’s bid set the initial price for Agriprocessors, which filed for bankruptcy months after a massive immigration raid in May 2008.
At issue is a $35 million bank loan. How much the bank lost could affect the length of Rubashkin’s sentence.
During the hearing, defense attorney F. Montgomery Brown said the original $20 million loan, which grew to $35 million by 2007, was not affected by the fraud.
Rubashkin was convicted in November for his role in a massive fraud scheme that included falsified sales records designed to mislead the bank about the amount of collateral available to back the bank’s loan.
The total loss is important because is shapes the potential sentence Rubashkin could face on his 86 financial fraud convictions. The 50-year-old former meat plant mogul sat quietly with defense lawyers in orange jail fatigues, scratched the back of his head, and stroked wisps of his gray-flecked beard.
Rubashkin faces a possible life prison sentence if the sentencing guidelines filed by federal prosecutors are followed. Defense lawyers have asked for a sentence no greater than six years.
Hashem Yeracheim
The Torah solution is real justice:
The one who owes, pays. If he doesn’t have the money, he works for the one he owes until he pays it off.
In America, it works like this: The one who owes goes to jail. The one who is owed, loses . . . unless he has insurance. If he does, the insurance company raises its rates on everyone. If it is the government that must pay a settlement, it raises taxes on everyone.
Real justice.
wow.wow.wow…eybesheter hob rachmunis
Lease say tehillim right now! 20,22,51,55,69,130,150
An FBI Agent Randy Van Gent testified an Israeli company withdrew its $40 million bid for a troubled Iowa kosher slaughterhouse because of concerns with the plant’s bookkeeping. NOT TRUE they dropped it because the FBI contact the MOSAD of Israel to investigate if the company has the funds to buy out or it came from Rubashkin second wallet at this point they backed out didn’t one any one to investigate their books
R’ Shulem u r not alone all out prayers and eyes r directed to u and hoping for some good news בקרוב
Why orange jail fatigues? Why was he not allowed to dress for his court appearance? Every murderer that I can think of (remember OJ) was allowed to show up in their italian designer suits, why wasn’t SMR allowed to?
Sorry to say. But we need a Jewish Al Sharpton. (Of course without the violence)
Am I missing some info here? As far as I know Rubashkin was paying the bank nicely until he was forced to declare bankruptcy because of the immigration raid and its repurcussions. Therefore I can’t understand why the defense doesn’t argue that he was repaying the loan until the government made it impossible to continue doing so because of the raid and Rubashkin’s subsequent jailing?
If a person has a fire and can’t repay a loan because of it, is it considered stealing? Rubashkin was repaying the loan until the government took away the possibility to do that. That’s not called stealing. He didn’t want to run away with the money. He wanted to repay with interest. Whatever the bank lost is irrelevant.
I don’t understand why the defense doesn’t argue that he did not steal. He mistated the companies income and therefore he should be charged with bank fraud only.
Why are they getting stuck on how much he borrowed from the bank?
What is the big deal ask the bank that was willing to loan more money at the time of the crisis?
Stupid mistake this praying outside the court, because judges get really ennoyed when people try to bring a commotion to court, askunis behind the curtians is fine, cornering the judges or bringing all grandchildren into a courtroom to evoke mercy annoys them.
Your honor, please judge mr rubashkin by his crimes and not by his religion
Why dont they daaven in a shul ?
It reminds me that rabbi maza was counseled my rabbi meir shapiro (of chachmei lublin) in the trial of medel beilis that is why yidden are called adam. That when one is in trouble we all pitch in. The word adam is the only word in hebrew that does not change for plural. And when they attack one yid for an unproven sin, it is an attack against all of us.
I dont get it, someone explain please;
if the whole case is depending on the banks loss why dont they offer to pay back the bank their loss, and that should change the whole case then?
to #7 – I believe that personal garb is not worn at the sentencing hearing if the convict was in custody.
I still cannot believe the Federal Government used Blackhawk Army Helicopters to drop commandos on Rabushkin’s meat plant. That alone was insane. They went after our Kosher meat to destroy the meat industry for PETA. I will eat twice as much meat now to support Kosher food. The bankers were the crooks. They made 20 million dollars in interest income on Rabushkin’s loans. What loss did they have if they went easy on Rabushkin. The plant was selling meat. All our families were buying that meat. They were making money. So what if they had to hire more workers after the Mexican illegals went home. The whole thing was out of proportion. Makes no sense. Corruption in Government is the real injustice.
Anyone who is davening for a lenient sentence should be seriously concerned about the defense approach at sentencing. Based on the reports available online, including the sentencing exhibits filed today and available online, evoking imagery of Nazi Germany, blaming others, including the raid, is not going to evoke the sympathy from the judge that contrition and remorse would. It is a tactic that will not work. The family life and charity work, fine, he has those bases covered. But the judge will look at SMR himself to get a feel if there is any remorse here, any regret, any taking of responsibility. That tone is absent and it could be a very costly error.
Don’t be surprised if the judge uses this lack of acceptance, contrition and remorse as reason for a heavier sentence than what the defense is asking for.
And if anyone can explain what the defense strategy was in asking for six years I still can’t figure that one out.
The Abishter should helfin that R’ Sholom Rubashkin walks out today a free man with time served.
These current financial issues and its consequences appear to be generated by individuals not content with simply living a healthy disciplined lifestyle. They seem to have joined the rat-race in competing within who will accumulate more and be in better position. It’s time to get the humbling message.. Live and Love Simple!
my son is a third grader in a chasidisha yeshiva in monsey, he came home & told me that today their rebbi made them say tehilim for reb. shalom mordechei ben rivka, without knowing who, what, when, where, these small children they are so inocent, so pure,
RIBONO SHEL OLOM ASEI LMAAN TINOKES SHEL BEIS RABON.
dear freinds please say tehilim,daven, give tzedaka, do gmilas chesed, & hashem will see us behave & act like brothers & sisters so hashem will allso act like a father & will sure help us.
The reason all this is going on is because Postville, Iowa did not want Orthodox Jews around. They are a bunch of red neck, racists. They can keep their ugly town; all Jews should leave Postville. It is a gehenem there.
What’s really crazy is that the same federal government that had no problem raiding a plant with gestapo tactics and asking arresting illegals for not having proper ID, is the same government that now wants to investigate if Arizona’s new law requiring state police to enforce existing federal law is actually illegal! Where were all the liberals back in 08? Why wasn’t San Francisco calling for a boycott on the US government?