Auction for Lost Valley Farm Set For Next Week
A judge has ordered an Oregon dairy not to interfere with the sale of its cattle to satisfy the demands of a major creditor. The Morrow County Judge granted a preliminary injunction requiring the owner of Lost Valley Farm to cooperate with an auction set for next week. The order, however, doesn't prohibit the Boardman-based dairy from seeking bankruptcy protection.
According to Capital Press, the creditor, Rabobank, filed a lawsuit seeking to foreclose on the dairy's assets, which serve as collateral for $60 million in defaulted loans. Lost Valley Farm began operating last year, over the objection of environmentalists who feared the big dairy would be a polluter. Those worries came to fruition, with the state earlier this year accusing the dairy of endangering drinking water by mismanaging manure and wastewater. The sides reached a settlement in March, allowing the dairy to continue operations in a limited capacity.
If you have a story idea for the Washington Ag Network, call (509) 547-1618, or e-mail gvaagen@cherrycreekradio.com