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:9: :bang:Anyone have any news , and is anyone organizing to see what we can get back?
 

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So is it true that they swindled pre-purchased buyers of fertilizer?
I heard yesterday from a neighbor but didnt want to throw coffee shop talk on a forum
 

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:9: :bang:Anyone have any news , and is anyone organizing to see what we can get back?
Here's all I know so far.

I talked to a gentleman at FCC on Thursday. He said their legal team is looking into what is left outstanding on the pre pay accounts and what FCC can do about it. Not sure they can do much as it would all be unsecured credit.

There is no product in the bins as CMN was verifying inventory and for some reason hauled all the fertilizer to another facility to weigh it and never brought it back. Not sure what the story on that is.

So is it true that they swindled pre-purchased buyers of fertilizer?
I heard yesterday from a neighbor but didnt want to throw coffee shop talk on a forum
Yep they have. And any pre purchased seed or chem also. Myself and a lot of friends and neighbours have been taken. Some are out all their fert and canola seed. Luckily we had most of our fertilizer delivered in March or we'd be in a way worse situation.

Definitely couldn't have happened at a worse time.
 

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That is terrible news. I have heard some guys are out of alot of money. Did the owners shut the doors or is it in receivership?
 

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Currently the Evansburg location is open, the farm store is operating. There is 0 crop input supplies there. A large amount of farm store inventory has been taken in lieu of crop inputs. Calmar is physically closed, nobody wants to be in the yard. No receiver has stepped in currently. The owner, Harold Zibell, still thinks he can salvage the business and sell it to a new party. One employee, possibly more, have been implicated but not confirmed, to be involved with the whole financial situation. As of today, no crop input products are available out of Calmar, or if there is still inventory in the sheds, it cannot be released. The bins are all empty. Supposedly the CMN deal would have bailed out the ownership, forego business ownership to clear up a large amount of debt, and customers would still receive product, everybody would be oblivious. However some financials were kept quiet and undisclosed, which gave probable cause to CMN to terminate the deal. There is many stories and a lot of unconfirmed information, none of which add up to one consistent version. The only known fact right now is multiple millions of dollars of customer pre-buy is unavailable to return to customers, and there is no product backing those dollars to release to customers.
 

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That really stinks, hopefully things can get resolved although it probably won't happen overnight.

I just picked up the last of my pre-paid inputs last week, stories like this makes a guy wonder. These input dealers make a big fuss about checking up on farmers credit worthiness(which isn't necessarily bad), but yet we have no info on them and there isn't a method to recover recent cash pre-pays made by farmers when something like this happens???

One thing I wonder is why is the bank first in line to collect whatever is left when they supposedly had access to the numbers all along and were charged with oversight of the business and the security of the debt? But the innocent farmer gets hung with the losses, how were they supposed to know? Seems a little backwards to me.:rolleyes:
 

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That really stinks, hopefully things can get resolved although it probably won't happen overnight.

I just picked up the last of my pre-paid inputs last week, stories like this makes a guy wonder. These input dealers make a big fuss about checking up on farmers credit worthiness(which isn't necessarily bad), but yet we have no info on them and there isn't a method to recover recent cash pre-pays made by farmers when something like this happens???

One thing I wonder is why is the bank first in line to collect whatever is left when they supposedly had access to the numbers all along and were charged with oversight of the business and the security of the debt? But the innocent farmer gets hung with the losses, how were they supposed to know? Seems a little backwards to me.:rolleyes:
It's not right but we're basically just unsecured creditors. Any lending institution with a lien or mortgage is first in line and then we get what, if any is left. Probably be pennies on the dollar.

Here all the input suppliers deal with FCC, Scotiabank, etc for their customers credit. There's zero risk to them if a customer defaults.

Had a grain broker go bankrupt here several years ago. He didn't have enough bond to cover the amount outstanding and guys only got a small percentage of what was owing. I was very close to loosing a few loads of barley in that ordeal. This is a little bigger scale for sure.
 

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That really stinks, hopefully things can get resolved although it probably won't happen overnight.

I just picked up the last of my pre-paid inputs last week, stories like this makes a guy wonder. These input dealers make a big fuss about checking up on farmers credit worthiness(which isn't necessarily bad), but yet we have no info on them and there isn't a method to recover recent cash pre-pays made by farmers when something like this happens???

One thing I wonder is why is the bank first in line to collect whatever is left when they supposedly had access to the numbers all along and were charged with oversight of the business and the security of the debt? But the innocent farmer gets hung with the losses, how were they supposed to know? Seems a little backwards to me.:rolleyes:
A bunch of farmers got hung on one of these situations in the early 90's here, dad was one of them. Local one location store and the bank foreclosed and seized all accounts within a week after the Dec/Jan prepay deadline. Bank VP testified under oath in court they waited until then to foreclose because they knew farmers prepay money would be coming in. He lost his job. This was also a one branch local bank with a strong farm lending presence, they lost a lot of business.

This was also a feed retail outlet and anyone foreclosed on did not pay their feed bill. When the first farmer, an old bohemie, was asked about this in court as to why he did not pay his response was "why the **** should I", apparently the question was not asked again.

It sucks when the banks hold all the cards, can make up the rules to the game and hold a crystal ball.
 

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The banks control 338 people who work out of a big building in Ottawa.
Sad but true.

I was just pointing out the absurd nature of the way things work. Things like this show just how little knowledge the lenders have of what they are involved in. It should never get to this point.
 

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Local farmer is starting a class action lawsuit and has a contact for a fraud case with the rcmp. PM if you need details
 

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Discussion Starter #14
Agree ,not coffee shop talk anymore, it's past that now, was told " took your fert. money and used it to pay operating expenses, no fert in my bins " ......"working on 3 deals should have fert by monday" ,, we can only hope I will phone and see what response i get ..Only out all our fert.and counting,
 

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At the moment, you have to source, get to pay (likely more) for the same thing again, right when you are getting ready to use it.
Hope you have a safe seeding season for now.
Good luck to anyone caught on the shitty end of the stick.
 
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