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GIPSA Alleges Chiappetti Lamb & Veal Violated Packers Act

November 12, 2010

The U.S. Department of Agriculture's Grain Inspection, Packers and Stockyards Administration (GIPSA) has found evidence that the Den-Franco Corporation, also known as Chiappetti Lamb & Veal, and Dennis Chiappetti entered into veal contracts with producers in which they agreed to pay a guaranteed minimum price per head and subsequently failed to honor the guaranteed minimum price; failed to pay for livestock within the time period required by the Packers and Stockyards (P&S) Act; and delayed the contracted delivery dates and payment for calves in connection with veal contracts they entered into.

GIPSA filed a complaint against Den-Franco and Chiappetti on Nov. 2. If the allegations are admitted, or proven in an oral hearing, Den-Franco and Chiappetti may be ordered to cease and desist from violating the P&S Act and assessed a civil penalty.

Den-Franco was engaged in the business of buying and selling livestock in commerce for the purpose of slaughter and is a packer. Chiappetti was president, 100 percent owner, a packer and responsible for the management, direction and control of Den-Franco.



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