Nebraska Regulator Dismisses Complaint Against The Andersons After Settlement

A Nebraska state regulator has dismissed a complaint against Ohio-based agribusiness The Andersons (ANDE) over allegations of untimely payments for grain deliveries. The company resolved the issue by agreeing to pay a $5,000 administrative fine while formally denying the violations, according to a stipulated agreement.

Details of the Agreement

The Nebraska Public Service Commission’s Grain Warehouses and Dealers Department filed the complaint on August 6, as reported by Reuters. The action followed an investigation into a grain producer's claim that The Andersons had not paid for 17 grain deliveries made between November 2023 and January 2024.

According to the agreement documents, both the company and the producer confirmed on Tuesday that the matter has been resolved. The commission stated that no other similar complaints against The Andersons have been received.

“Our priority is ensuring Nebraska’s grain laws are followed and that producers are protected as the statutes intend,” said Terri Fritz, the commission's grain department director, in a statement. “We’re satisfied that the issues that led to the complaint have been addressed.”

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Heightened Scrutiny in the Grain Industry

The settlement occurs amid increased financial pressure on U.S. farmers from rising production costs and tighter profit margins. This environment has led state regulators to more closely scrutinize grain buyers' payment practices, especially following several recent dealer failures.

The complaint against The Andersons followed the 2023 collapse of Omaha-based grain dealer Hansen-Mueller, which filed for Chapter 11 bankruptcy after Nebraska regulators suspended its license over unpaid grain contracts. The Andersons, one of the largest U.S. ethanol producers, is a licensed grain dealer in Nebraska and operates a large network of grain elevators.