A cattle buyer from Harper County was indicted Tuesday on federal fraud charges, according to a release from Acting U.S. Attorney Tom Beall.
Randall D. Patterson, 62, owner of Anthony Livestock Co., is charged with 14 counts of wire fraud.
The indictment alleges Patterson, a former president of the National Livestock Marketing, had an agreement to buy cattle at a “delivered price” from JBS Five Rivers Cattle Feeding. That price included the price paid for the cattle, the cost of freight, health costs for cattle and a commission of 50 cents per hundredweight.
Five Rivers would notify Patterson of a maximum delivered price and Patterson would purchase cattle at sales barns in Kansas and Oklahoma. The sales barns would prepare invoices showing the price paid at auction.
The indictment alleges Patterson: caused sales barns to issue invoices falsely inflating the prices Anthony Livestock agreed to pay at auction, caused his employees to fax invoices to Five Rivers falsely inflating the amount paid for cattle, and caused at least 14 faxes to be sent to Five Rivers and other cattle feeding companies falsely inflating the amount ALC paid.
If convicted, Patterson, of Anthony, faces up to 20 years in federal prison and a fine up to $250,000 on each count. The FBI investigated. Assistant U.S. Attorney Alan Metzger is prosecuting.