Dairy Report: DFA Talks Anti-Trust, Organic Dairy Faces $60M Fraud

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A gallon of Dean foods Co. Dairy Pure brand Fat Free Milk. ( Gaia Squarci, Bloomberg )

DFA Addresses Dean Foods Deal Anti-Trust Concerns

We're learning more about the possible merger between Dairy Farmers of America and Dean Foods.

The Wall Street Journal is reporting the Department of Justice is looking into the potential for anti-trust issues. Now, a spokesperson with Dairy Farmers of America is commenting. Monica Massey is the executive vice president and chief of staff for DFA. 

"I think the Department of Justice has a job to do and we want to be transparent.  We think it's premature, because there is no deal yet, but Department of Justice is starting to look into it. That's their job, and of course we will cooperate with them," Massey says.

Massey couldn't comment on the deal while it's in negotiations, but she said they are looking for a deal that's "fair for all".   

Dairy Farmers of America is the largest U.S. dairy cooperative and Dean Foods is the biggest milk processor. Dean Foods filed for bankruptcy in November.

Prosecutors: Owner of Shuttered Organic Dairy Fan $60M Fraud

The Associated Press reports the owner of an award-winning organic dairy in Pennsylvania is now accused of taking nearly 60-million dollars from investors.

Trickling Springs Creamery in Chambersburg closed its doors last fall after 18-years in business. It produced milk, cream, butter, ice cream, yogurt and cheese.

Federal prosecutors say Philip Riehl was the majority owner of the creamery. In court documents, they say Riehl ran a long-running fraud scheme that preyed on hundreds of Amish and Mennonite investors. 

He was charged last week with securities and wire fraud. He apologized in a letter to investors. 

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