Minnesota Farmer Admits to $19 Million Organic Grain Fraud Scheme
St. Paul, MN (KROC-AM News) - A southern Minnesota organic farmer has admitted to a $19 million fraud scheme.
65-year-old James Clayton Wolf has entered a guilty plea to a federal wire fraud charge. According to the US Attorney for Minnesota, the certified organic farmer from Cottonwood County was accused of selling "conventionally farmed" grains that he obtained from a supplier and reselling the grains as organic.
Court documents say the fraudulent scheme resulted in profits that exceeded $19.6 million. Wolf was accused of using the proceeds to purchase real estate, vehicles, farm equipment, and investments.
The plea deal he worked out with federal prosecutors calls for him to forfeit all of the proceeds of the fraud. His sentencing hearing has yet to be scheduled.
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