Sioux Falls, SD – Agriprocessors Clients Testify in Rubashkin Trial

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    Shalom Rubashkin walks last week to the U.S. Courthouse in downtown Sioux Falls. The trial continues this week. [Photo: LARA NEEL/SIOUX FALLS ARGUS LEADER]Sioux Falls, SD – Two kosher meat sellers who regularly bought from Agriprocessors Inc. testified today that they were unaware that the eastern Iowa slaughterhouse allegedly attached their business names to made-up debts which were then used to defraud a bank.

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    But one of the sellers, Aaron Tzivin, who owns the Crown Heights House of Glatt in Brooklyn, N.Y, told jurors that he still has a good relationship with the plant’s former owners, the Rubashkin family.

    Tzivin, who is married to Rubashkin’s first cousin, testified that meat plant executive Sholom Rubashkin allowed him to extend his credit line with the company when needed so he could receive more kosher meat as needed. In exchange, he said he loaned money to the plant when asked.

    Rubashkin and his family “were very nice to me,” Tzivin said. “I pushed for a bigger credit line, and they did it for me.”

    When defense lawyer Guy Cook asked if he was related to the Rubashkins, Tzivin replied: “Yes. And I’m proud of it.”

    The statements came during the second week of trial for Sholom Rubashkin, a former executive at the Postville plant now charged with 91 fraud-related charges. He has pleaded not guilty, and is standing trial in South Dakota because of heavy publicity in Iowa.

    Yisrael Kagan, owner of the Glatt Western Kosher in Los Angeles, testified that Agriprocessors Inc. was disorganized and often did not ship all of the meat he had ordered. He said he only paid for meat that he received.

    Kagan said the plant supplied about 95 percent of his meat before Agriprocessors filed for Chapter 11 bankruptcy protection. He said his company caters events throughout Los Angeles, and supplied Agriprocessors meat for Hollywood movie shoots and celebrity chef Wolfgang Puck.

    When the plant struggled, Kagan said he sent advance payments totaling roughly $700,000 – including $500,000 taken from a mortgage on his home – with no written agreement.

    He said he will not likely see the money returned, because the plant filed for bankruptcy.


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    53 Comments
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    Anonymous
    Anonymous
    14 years ago

    “When the plant struggled, Kagan said he sent advance payments totaling roughly $700,000 – including $500,000 taken from a mortgage on his home – with no written agreement. He said he will not likely see the money returned, because the plant filed for bankruptcy”

    From a halachic point of view, does Rubashkin owe him the money? What trumps over here – Dina d’malchusa or dina d’shomayim?

    joe
    joe
    14 years ago

    Any one know if this is good news for Reb sholom?

    Anonymous
    Anonymous
    14 years ago

    can someone explain what the purpose of these peoples testimony is about.
    is this to help or hurt smr’s position or help it.

    chaim
    chaim
    14 years ago

    I Love how hes holding the rebbe picture, the rebbe will walk him right out of the walls of the federal prison to 770 for a seuda hodah! AMEN!!

    OMG
    OMG
    14 years ago

    Yesterday facts!! said
    “no one says that he stole. everyone agrees that he paid back every cent he borrowed from the bank.
    the accusation is just that he lied about how much he was allowed to borrow”
    After reading this article can you please let us know why you outright lied about you knowing the facts, one man alone lost $700,000.00 and he doesn’t expect to get back his money.

    Anonymous
    Anonymous
    14 years ago

    This is similar to the Chabad suing over the pledge with no documentation. Yidden, if you want your money write a contract!

    moshe der g
    moshe der g
    14 years ago

    if rubashkin had or has the money he will repay him

    but hashem should help and get hm out of the tzoras so he can reapy

    the rubashkins lived a life of giving. and now we need hashem to give them

    please pray for shalom and his family

    Anonymous
    Anonymous
    14 years ago

    i dont think they would be telling these stories if it wouldn’t be in favor of sr

    the real Joe
    the real Joe
    14 years ago

    these people where forced to testify for the prosecution I think, but they are both nothing major, the witch who was on the stand last week was a big player but I think the defense neutralized he,r the trial is set to go on for at least 3 more weeks unless some huge event happens.

    moshe der g
    moshe der g
    14 years ago

    yes they were witneses for the prosecution
    but we hope they were hostile witneses (meaning their testimony was not what the prosecution expected)
    this one guy is a PROUD cousin what does that tell the jury

    Anonymous
    Anonymous
    14 years ago

    Testimony that includes Rubashkim was very nice to him–and then proudly admitting he is a relative–sounds like it will go a long way to help Rubashkin. Not!

    mrs. sochers neighbor
    mrs. sochers neighbor
    14 years ago

    srulik kagan! I love you! and respect you for trying to help smr, hashem will surely take care of you!

    Yosef
    Yosef
    14 years ago

    Most poskim rule that dina demalchusa cannot override an obligation to pay.

    Character!
    Character!
    14 years ago

    Mr. “OMG” is so filled with hate and bias, he doesn’t see the point.

    “When the plant struggled, Kagan said he sent advance payments totaling roughly $700,000 – including $500,000 taken from a mortgage on his home”

    Isn’t that a huge testament to the positive reputation and character of Mr Rubashkin (and of course to the absolutely incredible Gamilas Chasadim of Mr Kagan!!!)? That his CUSTOMERS were willing to loan the company huge advances — without any guarantee — to help Agri stay afloat after the raid? Have you EVER HEARD of such an act done by a customer to help his supplier?

    Zelig
    Zelig
    14 years ago

    Is it possible that someone “on the inside” massered? Someone who knows the inner workings of Agri and was disgruntled? Someone tipped off the Feds – maybe someone heimish? A Dweck-type of person??

    Anonymous
    Anonymous
    14 years ago

    where did those dina d’malchusah dina guys who claimed that heshy friedman had the right to grab rubashkin’s business while being an ani hamehapech bechararh disappear to? Bankruptcy = liquidation of debts = dinan d’malchusah dina!!!! Suddenly they are turning to hallacha to try to stick it to the Rubashkins? Such double standard only shows that these aren’t people looking for the truth but people that toila’as oicheles bahem, plain sinas chinam. Livdoik b’yichusaihem.

    Anonymous
    Anonymous
    14 years ago

    #25 said:
    “you cannot compare hurting people physically to a financial blunder yes it could be laws were broken but lo yodaiti can be rectified,”

    Tell that to the people who had healthcare payments taken out of their paychecks as employees of Agriprocessor. But SMR did not send those payments on to the healthcare insurers. Those people lost their coverage and in at least one case the person was in treatment for cancer — which was halted! (some good citizens of Iowa stepped in to get her chemotherapy restarted) His failure to fulfill his obligations impacted businesses and people’s lives quite directly.

    Shaul in Monsey
    Shaul in Monsey
    14 years ago

    It’s amazing how far some posters are willing to go to paint any act of SMR’s as on par with Moses at Sinai. Take a lesson from the mishnah in kiddushin, Hakosher mehatabochim shutafoi shel amalek. Go argue with the mishnah.

    Kagan didn’t lend Agri anything. He prepaid for merchandise that he didn’t get. That is called stealing. It’s not chesed, its not yoisher, and its not admitable in any way. Agri had plenty of opportunity before filing for bankruptcy to make something good on 700k. Yet they filed anyway and knew that the 700k, at least in civil law, would be wiped clean.

    Then there’s the poster that suggests that this fiasco, one of many to become public for sure, all suggest how wonderful things were at Agri – but when you boil things down, it all comes back to owners being responsible, up to top, for treating Agri like a personal bank account.

    formally
    formally
    14 years ago

    SMR is a mosser and now I want to see you guys condemn him

    Rubashkin customer denies tax scheme
    BY GRANT SCHULTE • Des Moines Register

    A lawyer for former eastern Iowa meat plant executive Sholom Rubashkin suggested in court Monday that one of Rubashkin’s largest customers shoveled money into the slaughterhouse to avoid taxes. He was talking about ayid.