Agriprocessors may avoid paying $1 million state fine

Agriprocessors Inc. may avoid paying a $1 million state labor fine because Agriprocessors, a large kosher meat producer, is currently filing for bankruptcy. A lawyer for the company's bankruptcy trustee said Monday that Agriprocessors may never pay the fine because of debts owed to higher-priority creditors.

The fine was originally for $10 million but was reduced by a bankruptcy judge last week. Agriprocessors incurred the fine for allegedly violating paycheck deductions laws.

The company entered bankruptcy proceedings six months ago after a May 2008 immigration raid targeted the workforce.

If your company is involved in business litigation, contact the Iowa business litigation lawyers of LaMarca Law Group, P.C. at (515) 705-0233.

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