Ohio Holstein Association signs confidential agreement to settle debt

WOOSTER, Ohio — The Ohio Holstein Association president says the organization has signed a confidential agreement with New Jersey-based Nil Livestock Co., concerning debt owed to Nil for the sale of heifers in 2011.

The association found itself in default of $346,000 in May 2013, all from a cattle contract that now-fired general manager, Don Alexander, reportedly entered into without the Holstein association’s consent.

Related: Ohio Holstein Association fires general manager

The contract included the purchase of 420 heifers, which were to be exported to Turkey. Some 258 head were shipped, and pre-payments were made for the others.

The association found out about the contract and the debt it owed when checks to its consignors began to bounce following the April 2013, Spring Sale in Wayne County, Ohio. The checks bounced because $169,000 had been garnished from the association, unbeknownst to its members.

Multiple addresses

For nearly three years, court documents were mailed to an address other than the official Ohio Holstein Association address, which is why the association’s board and members didn’t know what was going on.

It is unclear why Alexander used the second address, and he did not return Farm and Dairy’s phone calls seeking an answer. Dallas Rynd, association president, said he’s ready to move on and he believes the matter is settled.

“Our position is we’d like to move on and look forward and be positive,” he said.

The association’s legal counsel, Bryan Barnard, of Kennedy, Cicconetti, Knowlton and Buytendyk, said the parties will soon issue a joint statement addressing the settlement, likely within 60 days.Barnard said the settlement was confidential and he’s doubtful the specific terms will be released, but he said there will be a summary “clarifying the situation that led to this litigation.”

Rynd said the association is looking ahead to a summer sale, Aug. 24 at the Wayne County Fairgrounds. Dairy cattle and semen will be sold, and proceeds will benefit the association. About 75 head have been consigned.