New York Criminal Lawyer Blog
The case involves the petitioner, U.S. Bancorp Equipment Finance, Inc. The respondents in the matter are Abraham A. Rubashkin, Joseph Rubashkin, Rivka Rubashkin, Rosie Sandman, Gutol Leiter, Hilgar Limited, 452-53rd Street Reality Company, A.A. Rubashkin & Sons Inc. 410 East 17th Street, LLC, 404 Realty Associates, LLC, and John Doe’s numbered one through ten.
The case is being heard in the Supreme Court of the State of New York located in Kings County. Judge Arthur M. Schack is hearing the case.
Case Background
A New York DWI Lawyer said the respondent Rubashkin is the only shareholder in a corporation named Agriprocessors, Inc. The company owned a meat processing plant that is located in Postville, Iowa. The company has a long history, with recent chapters turning a bit dark.
Part of the Rubashkin Lubavitch Hasidic family moved from Brooklyn to Postville in 1987. The firm then became the largest processor of glatt kosher beef, which is the strictest kosher beef standard. The company produces both kosher and non kosher beef, lamb, veal, chicken and turkey products under brands including Iowa Best Beef, Rubashkin’s, and Aaron’s Best.
From April through December in 2004, Agriprocessors entered into several lease agreements with U.S. Bancorp for a variety of meat processing equipment. On the 20th of May, 2004, Rubashkin delivered a personal guaranty to U.S. Bancorp. The guaranty stated that Rubashkin would unconditionally and absolutely make all payments and performance obligations of Agriprocessors as specified by the lease.
On the 12th of May, 2008, the Postville facility of Agriprocessors was raided by agents from the Federal Immigration and Customs Enforcement office. The company was charged with violations of child labor law and violations in relation to hours worked and wages.
On the fourth of November, 2008, Agriprocessors filed a voluntary petition in the United States Bankruptcy Court for the Eastern District of New York for relief from the fines they have been charged by the state of Iowa for their violations.
As a result of this, Agriprocessors failed to make payments on their lease to U.S. Bancorp and defaulted on the terms of the lease. A New York DWI Lawyer said in the first of December U.S. Bancorp sent a written demand to the company for payment of the money that they owed. Rubashkin failed to make payment. U.S. Bancorp filed a complaint with the United States District Court for the Eastern District Court in the matter.
Current Matter
The petitioner, U.S. Bancorp has moved by order to show cause to hold in contempt the respondents in the matter for failure to comply with subpoenas that were issued to them. A Nassau County DWI Lawyer said they also move to obtain leave to receive Rubashkin’s assets and void as fraudulent the lease with the respondents.
Court Decision
After careful review of the facts of the case the court orders that the order to show cause by the petitioner is granted. The respondents will turn over their assets to the petitioner of the matter. The petitioner is granted the attorney’s fees as well as the turnover of all sums and property from the respondents.
At Stephen Bilkis & Associates we offer free consultations for those that would like legal advice in a matter. You may contact one of our New York City offices to set up an appointment to come in and discuss your case. We will help you determine your legal rights in the matter and show you what your best course of action would be.