SPRINGFIELD, Ill. — The Illinois Department of Agriculture has revoked the grain dealer and warehouse licenses belonging to Keller Grain Company, Inc. The company has two locations in southern Illinois, in Jonesboro and Anna. The licenses were revoked following an administrative hearing to address the suspension of the facility’s licenses for failure to pay a producer, on demand, for grain purchased from that producer. The company has been ordered to cease and desist doing further business.
The Illinois Department of Agriculture has assumed control of the company, including its grain assets, and will begin the process of compensating claimants per the Illinois Grain Code. Anyone who has sold grain to the company and has not been paid in full or has grain stored in the company’s 547,000 bushel facilities should contact the Department’s Bureau of Warehouses to file a claim. The deadline to file claims is March 29, 2017, or seven days from the date notice was mailed to a particular claimant, whichever is later.
Keller Grain Company was a member of the Illinois Grain Insurance Fund, which means valid claimants at the facility are protected under the Illinois Grain Code. Provisions for compensation under the Illinois Grain Code are as follows:
- Grain that was delivered and priced within 21 days before the date of failure is covered at 100 percent;
- Grain that was priced 22-160 days of the date of failure is covered at 85 percent;
- Grain sold on a price later contract is protected at 85 percent of closeout value within 365 days of delivery.
- Depositors with evidence of grain in storage are covered for 100 percent of losses up to $1 million maximum per claimant. No time limit exists for warehouse claims.
The Department will hold an informational meeting to explain the liquidation and claims processes on January 19th. The meeting will take place at 1:00pm at the Main Street Center (formerly known as the Sunshine Inn), 400 South Main Street in Anna. It will be open to anyone with a financial interest in the company, including farmers who may be potential claimants.
In the meantime, creditors who wish to file a claim should contact the Department. Claim forms can be found on the Department’s website (https://www.agr.state.il.us/
— Illinois Department of Agriculture
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