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Peanut Corp. of America Files for Bankruptcy

February 13th, 2009 · No Comments

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Peanut Corporation of America, the peanut processing plant at the core of the salmonella outbreak plaguing our nation, filed for bankruptcy today (Friday February 13, 2009).

Peanut Corp. filed for Chapter 7 bankruptcy protection in bankruptcy court.
In other words, Peanut Corp. of America has decided to cease doing business in the wake of the salmonella scandal.

This is apparent because of the type of bankruptcy the peanut processors filed for.
Companies file Chapter 7 to liquidate their assets and distribute the proceeds to creditors. A trustee is automatically appointed to oversee the wind down, as opposed to a Chapter 11 filing that gives a company breathing room while it tries to reduce its debts and continue in business.

Andrew S. Goldstein, a bankruptcy lawyer in Roanoke, Va., who filed the petition stated: “It’s regrettable, but it’s inevitable with the events of last month.”

Here’s the deal:
It’s estimated that more than 600 people have become ill and 9 people have died due to tainted peanuts that have been traced back to Peanut Corp. of America’s Georgia facility. Health code inspectors have since found roaches and mold at the facility.

My thoughts:
It’s unfortunate that so many people have gotten sick and a few have died from this outbreak.
And yes, Peanut Corp. of America should deal with the consequences of their behaviors.

If you are going to supply food to the public, you have to make sure that it is safe for us to eat. Free of contamination and infestation.

Peanut Corp. of America is being severely dealt with by the federal govt. and the media… as it should be.

What about the meat and dairy industry?
Last year, there were more than 500 million pounds of beef recalled due to contamination. That’s right! more than half a billion pounds!

According to Earth Save International,there are approximately 55 million reported cases of food poisoning due to contaminated meat, resulting in thousands of deaths every year. Not just last year, but every year; year in and year out!

Despite these alarming facts, we never hear of congressional hearings or criminal proceedings filed against the heads of the meat and dairy industry.

Why? Because the meat and dairy industry is a huge lobbying force on capital hill.
FDA, USDA, and Congress all turn a blind eye to the deadly deceitful business practices of the meat and dairy industry.

Just like everything else when it comes to big business and government… it’s all about the money.
The right amount of money put in the hands of federal employees and politicians make the meat and dairy industry impervious to the law. They follow their own set of rules with total disregard to the general public.

Don’t get me wrong, I believe that Peanut Corp. of America was negligent and should be dealt with accordingly.
However, I also believe that the meat and dairy industry should play by the same set of rules as everybody else.

What do you think?
Be sure to leave a comment. I’d love to hear what you have to say about this. :)

Alexander Morentin, C.E.S.
Whole Foods Evangelist

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