Department of Justice
Office of Public Affairs
FOR IMMEDIATE RELEASE
Wednesday, November 27, 2013
Former Suppliers of Beef to National School Lunch Program Settle Allegations of Improper Practices and Mistreating Cows
Several California companies and individuals that formerly supplied beef to the National School Lunch Program have agreed to settle allegations of inhumane handling of cattle, circumventing appropriate inspection of nonambulatory disabled (“downer”) cattle and false representations regarding their eligibility to process beef, the Justice Department announced today. The announcement follows approval of the last of these settlements by a California probate court.
“Children across the country depend on the National School Lunch Program to provide them with a healthy meal each day, so we all depend on companies providing food to the program to follow the rules designed to ensure those meals are safe to eat,” said Assistant Attorney General for the Justice Department’s Civil Division Stuart F. Delery. “The Justice Department will pursue aggressively anyone whose unlawful conduct puts the safety of our food at risk.”
“The contractors who supply beef and other meat products to schools and child-care facilities have a responsibility to provide our nation’s young people with products that come only from healthy and humanely handled animals,” said U.S. Attorney for the Central District of California André Birotte Jr. “This settlement holds accountable businesses that mistreated cows on a regular basis and routinely evaded a critically important USDA inspection procedure that allowed ‘downer cows’ to be processed into food.”
The settlements will conclude a lawsuit initiated by the Humane Society of the United States (HSUS) under the whistleblower provisions of the False Claims Act (FCA) after an HSUS investigator videotaped alleged inhumane cattle handling and improper downer cattle inspection practices at the slaughterhouse and meat processing facility of Westland Meat Co. and Hallmark Meat Packing Co. in Chino, Calif. The government later joined the lawsuit and brought additional claims that the defendants concealed their ineligibility to process beef because a convicted felon, Aaron “Arnie” Magidow, was a partner in and otherwise responsibly connected with the facility’s operations. U.S. Department of Agriculture (USDA) regulations applicable to suppliers of the National School Lunch Program prohibit the inhumane handling of cattle, require the proper inspection and disposition of downer cattle and require suppliers to identify convicted felons who are responsibly connected to the suppliers’ operations.
The National School Lunch Program, administered by the USDA, is a federally assisted meal program operating in public and nonprofit private schools and residential child-care institutions. The program provides nutritionally balanced, low-cost or free lunches to children each school day. All ground beef containing the defendants’ products was recalled as of Feb. 16, 2008, and the defendants no longer supply beef to the National School Lunch Program.
“A top priority for USDA’s Office of Inspector General (OIG) is protecting the integrity of America’s food supply by investigating violations of the Federal Meat Inspection Act,” said USDA-OIG Western Region Special Agent in Charge Lori Chan. “Agents from OIG’s Diamond Bar, Calif., office conducted an extensive investigation of the Hallmark/Westland facility, which supplied ground beef to schools through USDA’s National School Lunch Program. The government’s joint investigation led to one of the largest civil settlements in OIG’s history.” Under the settlements, Westland Meat Co., based in Corona Del Mar, Calif., and its owner Steve Mendell will pay $240,000, and Westland will enter into a consent judgment for $155.68 million. M&M Management, also based in Corona Del Mar, Calif., and Cattleman’s Choice, based in Commerce, Calif., and the estate of Cattleman’s deceased owner, Arnie Magidow, and Magidow’s surviving spouse will pay a total of approximately $2.45 million. Magidow’s surviving spouse was named in the lawsuit as a successor in interest to Magidow and is not alleged to have engaged in any wrongdoing. In October 2012, defendants Donald R. Hallmark and Donald W. Hallmark settled allegations for $304,130.
The FCA’s whistleblower provisions, under which HSUS filed the lawsuit, permit a private entity to bring a lawsuit on behalf of the government and to share in any proceeds from the suit. The FCA also allows the government to intervene in the lawsuit, as it has done in this case. As a result of the settlements announced today, HSUS will receive approximately $600,000.
The case was handled by the U.S. Attorney’s Office for the Central District of California and the Justice Department’s Civil Division, Commercial Litigation Branch; in cooperation with the USDA Office of Inspector General. The claims resolved by the settlement are allegations only; there has been no determination of liability.
13-1264 Attorney General
U.S., suppliers settle over school lunch beef linked to recall
Posted Nov. 27th, 2013 by Reuter news service
Nov 27 (Reuters) – Several California companies and individuals tied to the largest beef recall in U.S. history agreed to settle charges of animal cruelty and the slaughtering of sick cattle for food, including beef supplied to the National School Lunch Program, the Justice Department said on Wednesday.
The settlements end a federal fraud lawsuit begun in February 2008 by the Humane Society of the United States, which had obtained a video that appeared to show inhumane cattle treatment and improper inspections of sick cattle at a Chino, California, plant run by Westland Meat Co. and Hallmark Meat Co.
Under the settlements, Westland agreed to enter a $155.68 million consent judgment, which its lawyer said is unlikely to be collected because the company is defunct, while its owner, Steve Mendell, agreed to pay $240,000.
The government also said M&M Management LLC, Cattleman’s Choice Inc., the estate of Cattleman’s late owner, Aaron “Arnie” Magidow, and Magidow’s widow JoAnn will pay $2.45 million. JoAnn Magidow was not accused of wrongdoing.
Two other defendants, Donald Hallmark Sr and Donald Hallmark Jr, settled in October 2012 for $304,130, the government said. The government joined the case in May 2009.
According to the lawsuit, Westland/Hallmark treated cattle inhumanely and falsely represented that it processed meat only from ambulatory cattle, when it also used “downer” cattle that can walk only with help. Such cattle are considered a greater risk to spread illness.
The case was tied to contracts from August 2003 to January 2008 under which the U.S. Department of Agriculture bought fresh and frozen beef from Westland/Hallmark for school lunches. The USDA now bans non-ambulatory cattle from entering the human food chain.
“Children across the country depend on the National School Lunch Program to provide them with a healthy meal each day,” Stuart Delery, assistant attorney general for the Justice Department’s civil division, said in a statement. “We all depend on companies providing food to the program to follow the rules designed to ensure those meals are safe to eat.”
Mark Troy, a partner at the law firm Crowell & Moring representing Westland, Mendell and M&M, said federal meat inspectors “had been on site 100 percent of the time and inspected every single cow,” but the government blamed Westland because workers had been caught on the video mistreating cows.
He said the Westland judgment is not expected to be paid because the company is out of business.
An uncollectible $497 million judgment was previously entered against Hallmark Meat, the Humane Society has said.
Edward Woods, a partner at Akin Gump Strauss Hauer & Feld representing Cattleman’s Choice, Arnie Magidow’s estate and JoAnn Magidow, in a statement said his clients “were able to reach a settlement with the U.S. for the costs of suit, a mere fraction of what the U.S. had been seeking.”
Both lawyers noted that a federal judge had earlier this year dismissed parts of the government’s case.
A February 2008 recall of Westland/Hallmark beef covered 143 million pounds (64.9 million kg) of meat over two years, of which 37 million pounds (16.8 million kg) had been bought for school lunches and other federal programs.
USDA officials at the time said much of the recalled beef had probably been consumed, but that there had been only a minor risk of illness from eating it.
Westland and M&M were based in Corona Del Mar, California, and Cattleman’s Choice in Commerce, California, the Justice Department said.
The case is U.S. ex rel. Humane Society of the United States v. Westland/Hallmark Meat Co et al, U.S. District Court, Central District of California, No. 08-00221.
NOW, these same corporate bozo's, decided amongst themselves, that it would be alright, to feed our children all across the USA, via the NSLP, DEAD STOCK DOWNER COWS, the most high risk cattle for mad cow type disease, and other dangerous pathogens, and they did this for 4 years, that was documented, then hid what they did by having a recall, one of the largest recalls ever, and they made this recall and masked the reason for the recall due to animal abuse, not for the reason of the potential for these animals to have mad cow BSE type disease. these TSE prion disease can lay dormant for 5, 10, 20 years, or longer, WHO WILL WATCH OUR CHILDREN FOR THE NEXT 5 DECADES FOR CJD ???
Saturday, September 21, 2013
Westland/Hallmark: 2008 Beef Recall A Case Study by The Food Industry Center January 2010 THE FLIM-FLAM REPORT
DID YOUR CHILD CONSUME SOME OF THESE DEAD STOCK DOWNER COWS, THE MOST HIGH RISK FOR MAD COW DISEASE ???
this recall was not for the welfare of the animals. ...tss
you can check and see here ;
(link now dead, does not work...tss)
try this link ;
Sunday, November 13, 2011
California BSE mad cow beef recall, QFC, CJD, and dead stock downer livestock
Saturday, November 2, 2013
APHIS Finalizes Bovine Import Regulations in Line with International Animal Health Standards while enhancing the spread of BSE TSE prion mad cow type disease around the Globe
I AGREE WITH MR. BULLARD, it’s all about trade and money, BSE TSE PRION aka mad cow type disease and sound science there from, was thrown out the window by the USDA et al that fateful day in December 23, 2003, when the USDA lost it’s ‘gold card’ of supposedly being BSE FREE, (that was and still is a sad joke though), that’s when mad cow junk science was adopted by the USDA...
see why below...kind regards, terry
Monday, November 4, 2013
*** R-CALF Bullard new BSE rule represents the abrogation of USDA’s responsibility to protect U.S. consumers and the U.S. cattle herd from the introduction of foreign animal disease
Wednesday, October 30, 2013
SPECIFIED RISK MATERIAL (SRM) CONTROL VERIFICATION TASK FSIS NOTICE 70-13 10/30/13
NATURE OF THE CASE
1. This is an action for negligence against the Defendants arising from the improper and negligent use of contaminated material in the preparation of the Bacterial Master Cell Bank ("MCB") for a new breakthrough drug, Cethrin" (BA-21 0), researched and developed by BIOAXONE. Cethrin is a biologic drug that will provide the most advanced treatment for patients who have suffered acute spinal cord injury. Defendants negligently prepared the MCB using kanamycin they purchased that was made in China and that contained beef broth and avian products. The MCB is contaminated with beef broth and avian products that cause human disease including bovine spongiform encephalopathy ("BSE"), commonly known as mad cow disease, which created an unreasonably dangerous risk of the development of BSE in patients to whom the Cethrin made from the contaminated MCB would be administered.
Case 0:12-cv-60739-RNS Document 1 Entered on FLSD Docket 04/26/2012 Page 3 of 15
JURISDICTION AND VENUE
2. This Court has subject matter jurisdiction pursuant to 28 V.S.C. § 1332 because the matter in controversy exceeds the minimum jurisdictional requirements of this Court and because the Plaintiff is a citizen of a state different from the Defendants.
3. Venue for this action is proper in this Court because each Defendant holds a certificate of authority to transact business in Florida. is registered to transact business in Florida. and Plaintiff resides and transacts business in this District. Many of the acts that are alleged in this Complaint occurred in this District and at least one of the Defendants can be found, resides, or transacts business in this District.
4. At all times material hereto, the parties hereto transacted business related to Cethrin in Florida by and through their employees and/or agents including but not limited to participating in telephonic and in person meetings, correspondence, and making and/or accepting payments.
5. MDS PHARMA SERVICES, INC., was a wholly owned subsidiary of MDS, INC., now known as Defendant, NORDION. As its wholly owned subsidiary, NORDION, exercised extensive control over MDS PHARMA SERVICES and, as such, MDS PHARMA SERVICES, served as the agent or apparent agent of NORD ION. In addition, NORDION sells its products in Florida and as such its products are in the stream of commerce throughout the State of Florida. PARTIES
6. At all times material hereto, Plaintiff, BIOAXONE, was and is the owner and developer of Cethrin, a new breakthrough biologic drug providing treatment for patients who have suffered acute spinal cord injury. Defendant, MDS was retained by BIOAXONE to create, prepare, and qualify a Bacterial Master Cell Bank to be used in the development of Cethrin.
7. At all times material hereto, Defendant, MDS PHARMA SERVICES, INC., provided discovery, pre-clinical studies, and clinical trial services to biopharmaceutical and biotechnology companies incorporated and doing business in Florida. such as BIOAXONE.
27. On or about October 16, 2008, a formal status report was provided to BIOAXONE during which BIOAXONE was informed, for the first time, that the MCB was not GMP compliant.
28. At all times prior to October 16, 2008, MDS/RICERCA had actual or constructive knowledge that the kanamycin it purchased and used in the preparation of the MCB for BIOAXONE was contaminated and was not fit or intended for use in humans.
29. At all times prior to October 16,2008, MDS/RICERCA had actual or constructive knowledge that the purchase and use of contaminated kanamycin in the preparation of the MCB for BIOAXONE created an unreasonably dangerous and foreseeable risk of adventitious agents that cause human disease including the development of BSE or mad cow disease in humans.
30. At all times material hereto, MDS/RICERCA knew that the preparation of the MCB for
Case 0:12-cv-60739-RNS Document 1 Entered on FLSD Docket 04/26/2012 Page 9 of 15
BIOAXONE was for use in the development of a biologic drug, Cethrin, to be administered to humans.
31. At all times prior to October 16, 2008, MDS/RICERCA had actual or constructive knowledge that the purchase and use of contaminated kanamycin in the preparation of the MCB for BIOAXONE created a foreseeable risk that the FDA would deem Cethrin adulterated and cause the FDA and/or any other regulatory agency to fail to approve its use as a drug product to be administered to human patients.
32. At all times material hereto, MDS/RICERCA knew or should have known that it had a continuing duty to follow and comply with the GMPs in the preparation of the MCB. In addition to ensuring compliance with the GMPs, MDS/RICERCA had a duty to follow its own standard operating procedures and quality assurance standards in its purchase and use of animal-free raw materials in the preparation and qualification of the MCB for BIOAXONE.
33. Despite its actual or constructive knowledge of its use of the contaminated kanamycin in the preparation of the MCB, MDS/RICERCA failed to diligently, timely, properly or otherwise inform BIOAXONE that the kanamycin used in the preparation and qualification of the MCB was animal-derived, was not fit or intended for human use, and, as a result, had contaminated the MCB.
The Clerk shall CLOSE this case. Any party may move to re-open the case if there is a problem in reaching a final settlement agreement. Any pending motions are DENIED as moot. DONE and ORDERED in chambers, at Miami, Florida on September 19,2013.
Case 0:12-cv-60739-RNS Document 115 Entered on FLSD Docket 09/20/2013 Page 1 of 1
UNITED STATES DISTRICT COURT SOUTHERN DISTRICT OF FLORIDA
Case No. 12-60739-Civ-SCOLA/ROSENBAUM
snip...see full text ;
Tuesday, September 24, 2013
NORDION (US), INC., AND BIOAXONE BIOSCIENCES, INC., Settles $90M Mad Cow TSE prion Contamination Suit Cethrin(R)
*** Case 0:12-cv-60739-RNS Document 1 Entered on FLSD Docket 04/26/2012 Page 1 of 15 ***
***Together with previous experiments performed in ovinized and bovinized transgenic mice and hamsters [8,9] indicating similarities between TME and L-BSE, the data support the hypothesis that L-BSE could be the origin of the TME outbreaks in North America and Europe during the mid-1900s.
Saturday, November 2, 2013
Exploring the risks of a putative transmission of BSE to new species
Wednesday, October 09, 2013
*** WHY THE UKBSEnvCJD ONLY THEORY IS SO POPULAR IN IT'S FALLACY, £41,078,281 in compensation REVISED
Thursday, October 10, 2013
*** CJD REPORT 1994 increased risk for consumption of veal and venison and lamb
Monday, October 14, 2013
*** Researchers estimate one in 2,000 people in the UK carry variant CJD proteins
Friday, August 16, 2013
*** Creutzfeldt-Jakob disease (CJD) biannual update August 2013 U.K. and Contaminated blood products induce a highly atypical prion disease devoid of PrPres in primates
WHAT about the sporadic CJD TSE proteins ?
WE now know that some cases of sporadic CJD are linked to atypical BSE and atypical Scrapie, so why are not MORE concerned about the sporadic CJD, and all it’s sub-types $$$
snip...see full text and more here ;
Sunday, August 11, 2013
Creutzfeldt-Jakob Disease CJD cases rising North America updated report August 2013
Creutzfeldt-Jakob Disease CJD cases rising North America with Canada seeing an extreme increase of 48% between 2008 and 2010
*** U.S.A. 50 STATE BSE MAD COW CONFERENCE CALL Jan. 9, 2001 ***
Thursday, November 28, 2013
U.S., suppliers settle over school lunch beef linked to recall