Terms have not been disclosed on a settlement agreement reached by Archer-Daniels-Midland (ADM) Co. mid-trial on a lawsuit claiming the company directed a Ponzi scheme involving former Martinsburg resident Cathy Gieseker.
According to the Bloomberg News report, a Missouri Circuit Court Judge announced the settlement to St. Louis jurors on Thursday, August 25. The report included information from an ADM spokesperson claiming the company doesn’t admit any wrongdoing, the settlement is confidential, and the parties involved have agreed they will not disclose details of the agreement.
This settlement comes five years after the case was filed by Grant L. Davis, on behalf of the farmers. The lawsuit claimed Gieseker acted as an agent for ADM as she chose not to pay for corn and soybeans she sold primarily to ADM. Gieseker’s scheme reportedly totaled around $27.4 million. Bloomberg News’ report noted that the settlement came before lawyers had introduced Gieseker’s recorded testimony where she implicated ADM as the company who instructed and directed the activities surrounding the grain fraud. This case involved four farmers and the settlement also resolves claims from another 160 farmers who have sued. Reportedly, $1.4 million from Gieseker’s seized assets and payments have been given back to the farmers.