Podcast Summary
A Modern Day Cattle Rustling: The Ghost Herd Scandal: The Ghost Herd scandal, a modern-day cattle rustling, emphasizes the importance of transparency and accountability in agriculture, as Cody Easterday's fraudulent activities led to over $244 million in stolen funds.
The story of Cody Easterday, a cattle rancher in the Pacific Northwest, serves as an example of modern American farming's complexities and potential for deceit. Easterday, who had been a successful rancher with Tyson Foods as his biggest client, was discovered to have stolen over $244 million from Tyson and another company using fake invoices. This "ghost herd" scandal was a modern-day cattle rustling, but instead of physically stealing animals, Easterday manipulated records. The case highlights the importance of transparency and accountability in the agricultural industry, and it underscores the potential risks and consequences of fraudulent activities. Additionally, the podcast "Ghost Herd," hosted by Anna King, explores this topic further and is available for those interested in learning more.
From Genius to Thief: Cody's Deceit in the Cattle Ranching Industry: Despite the large scale and complexities of the cattle ranching industry, fraud and deceit can still occur, as seen in the case of Cody, who stole over $200 million from Tyson Fresh Meats and another company.
The world of cattle ranching can involve massive operations and unexpected deceit. A man named Cody, who grew his farming business from 100 acres to thousands, and employed hundreds, was once considered a genius and a trustworthy individual. However, he was eventually caught for stealing over $200 million from Tyson Fresh Meats and another company. This scheme began when Cody, who was known for his business acumen and sharp intellect, started going "sideways." The cattle ranching industry starts with a calf's birth in a field, followed by weaning and transportation to a feedlot for rapid growth before slaughter. Despite the impressive scale of the industry, deceit and theft can still occur.
Cattle farmer's significant financial risk from futures market and market fluctuations: A cattle farmer's business can face substantial financial losses due to risks in the futures market and market fluctuations, even during profitable years, and these risks can accumulate over time leading to major financial downfall.
Cody Easterday's business of raising cattle for Tyson Fresh Meats was profitable during good years, but he faced significant risks and losses due to fluctuations in the futures market. The lag time between planting crops and selling livestock exposed him to substantial financial risk. Despite these challenges, he continued to gamble on the futures market. However, the losses accumulated over more than a decade, totaling over $200 million. The business faced an additional blow during the COVID-19 pandemic when a beef backup caused by worker illnesses at processing plants led Tyson to scrutinize its finances and ultimately recognize the immense amount of beef inventory in Pasco, Washington. This revelation further strained Cody's business, as the market was already oversaturated with beef and demand was decreasing. The combination of these factors ultimately led to Cody's financial downfall.
Cattle Fraud Scheme: 200,000 Head of Cattle Misrepresented: Proper monitoring and accountability are crucial to prevent large-scale fraud in businesses, such as the misrepresentation of 200,000 head of cattle for Tyson Foods, leading to significant losses and legal consequences.
The discussion revolves around a large-scale cattle fraud scheme orchestrated by Cody, a rancher, who falsely claimed to be caring for 200,000 head of cattle for Tyson Foods. When the discrepancy was discovered, Tyson had to report a significant loss of cattle to its shareholders. The incident highlights the importance of proper monitoring and accountability within businesses to prevent such scams. Although cattle rustling still occurs in the western regions, the magnitude of this fraud is considered rare. The Department of Justice later apprehended Cody for wire fraud, and he is now serving time in prison. This story serves as a reminder of the potential risks and consequences of inadequate oversight and trust violations in business relationships.
Cody Easter's Cattle Swindle: A Massive Scam in US History: The Cody Easter case exposed a massive cattle swindle, shocking the agricultural community, and highlighting the changing landscape of agriculture with large investments from outside the sector and the historical context of land ownership.
The Cody Easter case was a massive cattle swindle that ranks among the largest in US history. The discovery of this scam left people in shock, especially in Texas, Oklahoma, and Oregon. Cody Easter was widely respected in the agricultural community, but the pressure to maintain his multimillion-dollar business and empire may have driven him to risk it all through stealing. The story also highlights the changing landscape of agriculture in America, where small farms are no longer profitable, and large sums of money from outside agriculture are being invested in agricultural lands. This is leading to a churning over of real estate in the sector. Beyond the economic implications, it's essential to recognize the historical context of the land we profit from and the impact of government policies and colonization on indigenous cultures.
Large entities, including the Church of Jesus Christ of Latter-day Saints, are acquiring significant farmland due to food security concerns and rising values.: Large entities, like the Church, are acquiring valuable farmland due to food security and rising values, leading to industry concentration and potential power imbalance
The control of agricultural lands with clean water rights is becoming increasingly valuable due to food stability concerns and the impact of climate change. Large corporations are monopolizing the agriculture industry, while the value of farmland continues to rise. The Church of Jesus Christ of Latter-day Saints is an example of a large entity that has acquired significant farmland in the Columbia Basin, making them one of the largest farmers in America. This land will only increase in value as food security becomes more crucial. The podcast "Ghost Heard" from Northwest Public Broadcasting and KUOW highlights this trend, with the church owning vast swaths of farmland in the region and growing various crops. The control of these valuable resources is leading to a concentration of power in the agriculture industry.
Buying low in a challenging real estate market: Some investors, like Fundrise, are buying low in a challenging real estate market and expanding their portfolios, offering a potential profitable strategy for those interested with minimal investment and careful consideration.
Despite the challenges in the real estate market, such as high interest rates and falling prices, some investors like Fundrise are taking advantage of the situation by buying low. The Fundrise flagship fund, with a $1 billion portfolio, plans to expand further by acquiring more assets. This strategy, known as "buying low, selling high," can be a profitable one, but it requires careful consideration and timing. For those interested, the Fundrise flagship fund can be added to their portfolio with a minimal investment of $10, making it an accessible option for many. However, it's essential to carefully review the investment objectives, risks, charges, and expenses before investing.
