02-05-2025
Big fine might be in line after illegal grain trades
PIERRE, S.D. (KELO) — Another business has been caught buying grain illegally in South Dakota.
All Star Trading bought 11 loads for resale between July 8 and July 21 last year.
The Illinois-based company didn't have a valid South Dakota grain buyer license when those purchases happened.
CEO Ted Kennedy has agreed to pay a $11,000 fine.
The South Dakota Public Utilities Commission will consider on Thursday whether to accept the agreement.
The state commission oversees grain trading.
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All Star Trading had been licensed since 2019 to buy grain in South Dakota. But the company let the license expire last summer.
PUC staff last year sent four rounds of renewal reminders to license holders including All Star Trading ahead of the July 1 deadline.
All Star Trading applied for renewal on July 8 but didn't send the required fee. The commission received the fee on July 22 and issued a license that day.
On August 21, commission staff began a remote review of All Star Trading activities. The company submitted information on August 28.
Commission staff made a second data request on September 9. The company didn't respond within five working days, as required. Commission staff sent follow-up emails on September 16 and September 23. The company responded on September 24.
The records inspection found All Star Trading purchased 11 loads during July when the company was unlicensed. The purchases were made from three different entities over a period of five days.
The company could face civil fines of up to $5,000 for each of the illegal purchases and up to $1,000 for each day the company didn't respond to the commission staff's requests for information.
All Star Trading's Kennedy and commission staff have signed an agreement that the company would pay civil fines totaling $11,000 — $5,000 for the illegal purchases and $6,000 for the six days the company didn't respond.
It's now up to the commission's three elected members — Gary Hanson, Chris Nelson and Kristie Fiegen — to decide whether to approve the settlement.
The meeting starts at 1:30 p.m. CT in room 413 at the state Capitol.
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