S.D. PUC Wants Up-To-Date Financials On Grain Buyers

South Dakota Public Utilities Chairman Chris Nelson says state regulators need better tools to detect a grain buyer's deteriorating financial condition, after farmers in the Dakotas lost $4 million selling sunflowers to Anderson Seed Co.

 

 

 

 

SIOUX FALLS, S.D. (AP) - South Dakota Public Utilities Chairman Chris Nelson says state regulators need better tools to detect a grain buyer's deteriorating financial condition, after farmers in the Dakotas lost $4 million selling sunflowers to Anderson Seed Co.

The PUC is proposing a new law requiring grain buyers to provide a current financial statement when they apply for a grain-buying license and making sure information provided is given under the penalty of perjury.

Nelson says buyers also would be required to notify the commission if they fall out of compliance with the financial requirements for licensing.

The PUC, though, will not ask for the state to build an indemnity fund to cover losses.

Nelson says that more than 99.96 percent of delivered grain was paid for last year, and the commission shouldn't overregulate.

   

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