Inquiries into claims of deceptive practices by businesses dealing in animal sales
Unveiled: Probe into Alleged Cattle Documents Alterations
Authorities in Bielefeld are now digging deep into a cattle trader, under the radar for allegedly fiddling with documents of over a thousand cattle before they ended up at the slaughterhouses. Officially confirming the inquiry since mid-March, suspicions revolve around possible breaches of the German Food, Consumer Goods, and Feed Code. No concrete numbers regarding suspects or the progress of the investigation have been disclosed yet.
Misleading Labeling Issue
Initially, reports from the Raiffeisen Viehzentrale (RVZ) suggested that the cattle were incorrectly labeled as animals in the holding form 3 (HF 3) between November 2023 and January 2024. Subsequently, it is believed that hundreds of tons of mislabeled meat and sausage found their way to the market, as reported by Suddeutsche Zeitung in mid-April. The holding form, a voluntary labeling system for pork, beef, and poultry products featuring four stages with escalating animal husbandry requirements, plays a significant role in this incident.
Impact on Münsterland Operation
The issue concerns the firm RVG, located in Münsterland, which later merged with the Viehzentrale Südwest to form the RVZ based in Wolpertshausen, Baden-Württemberg. Auditors from QS Qualität und Sicherheit GmbH, responsible for quality assurance across the meat industry, uncovered the manipulations. On further examination, auditing firm KPMG discovered recurring patterns of deceit in 43 cases, primarily tied to two RVZ employees with access to delivery papers and standard food chain information declarations. These employees had the power to tamper with the documentation. The RVZ has taken action against the alleged employee.
No Involvement of Other Livestock Species
The RVZ confirmed that no other animal species (sheep, goats, pigs) were affected by the employees' deceit, and neither it nor its financial interests were compromised by their actions. "The daughter companies and participations of the RVZ were not part of the proceedings at any point."
The RVZ has put measures in place to boost its quality management, reorganize its supply chain, and digitally document, monitor, and record holding forms continuously.
Related Investigations
In a different context, an ongoing investigation centers around a false report claiming the detection of New World Screwworm in U.S. cattle. This false report triggered a significant decline in cattle futures, causing R-CALF USA to petition the U.S. Commodity Futures Trading Commission (CFTC) for an investigation into the report's origins and the motives behind its dissemination. The investigation concentrates on violations of the Commodity Exchange Act, particularly market manipulation through false reports. As of now, neither suspects nor arrests have been made public, and no specific individuals have been charged or identified in connection with document tampering or market manipulation claims. Both the Missouri Department of Agriculture and the USDA have denounced the NWS report's accuracy.
- The allegations in Bielefeld, involving a cattle trader and potential document alterations, could expand the scope of general-news coverage to include business practices and finance, as the mislabeling issue and subsequent market fluctuations may impact the economy.
- Amid concerns over document manipulations within the RVZ, there seems to be a glaring overlap between the cattle trader investigation in Germany and the ongoing CFTC investigation in the United States. In both cases, crime-and-justice authorities are investigating possible violations of regulations, with the potential for market manipulation and deception.
