Former Agriprocessors accountant to serve 3 years, pay $26.9 million in restitution

Former Agriprocessors head accountant was sentenced today in U.S. District Court to more than three years in prison and must pay more than $26.9 million in restitution for conspiring to make false statements to a bank.

Mitch Meltzer, 50, of Postville, pleaded guilty last September to one count of conspiring to make false statements and reports to a bank. He admitted during that hearing he conspired with others to make false statements to a bank in connection with requests for advances on an Agriprocessors loan between September 2007 and October 2008.

Meltzer signed a collateral certificate on Feb. 1, 2008 that overstated the value of Agriprocessors' collateral as part of his employer's request for an advance on a revolving loan, according to court records. Meltzer participated in the scheme with former vice president Sholom Rubashkin and Yomtov “Toby” Bensasson, the chief financial officer, to inflate the amount of accounts receivable collateral on Agriprocessors' books.

Rubashkin used the inflated numbers to fraudulently borrow more money from the bank than he would have otherwise been allowed, according to court records. Meltzer and Benssasson, at Rubashkin's direction, also manipulated monthly financial statements sent to the bank.

Meltzer is the ninth Agriprocessors manager or office employee to be sentenced on a federal conviction. Brent Beebe, former beef operations manager, was also sentenced today to 10 months in prison for conspiracy to commit document fraud.

Rubashkin was convicted of 86 counts of financial fraud and related charges. He will be sentenced June 22.

Meltzer was released on his previous bond and is allowed to self surrender to the Bureau of Prisons on a date ye to be set.

The U.S. Attorney's Office asks if anyone has information regarding Meltzer's assets with a significant value to call 319-731-4080.