Co-op says it owes farmers $5 million

BELLEVILLE -- A Belleville-based farm cooperative has not paid its members in two months and owes the farmers more than $5 million.

Meadowbrook Farms Cooperative laid off 600 employees earlier this month from its pork processing plant in Rantoul. According to Meadowbrook Farms Cooperative President and Chief Executive Officer Jim Burke, the debt was due to a client, Chicago-based Triad Foods Group, which defaulted on a contract. Although the co-op made $1.5 million last year, the defaulted contract forced the $5 million-plus loss.

The co-op filed a lawsuit Dec. 31 against Triad's parent company, Nature's Premium in Champaign County. Burke said assessed damages are approaching $4 million.