Linn County Metro

Midamar manager gets probation for role in beef misbranding

Company's founder still awaits sentencing

Law enforcement officials at Midamar, 1105 60th Avenue SW, during a federal investigation in southwest Cedar Rapids, Iow
Law enforcement officials at Midamar, 1105 60th Avenue SW, during a federal investigation in southwest Cedar Rapids, Iowa, on Tuesday, May 12, 2015. (Jim Slosiarek/The Gazette)

CEDAR RAPIDS — A former manager of Midamar, a Cedar Rapids-based halal food supplier, has been sentenced to three years of probation and fined $20,000 for conspiring to mislabel beef for sale abroad.

Philip Payne, of Ryan, was charged in December with one count of conspiracy to make and deliver false certificates and writings; one count of conspiracy to defraud the United States; and one count of conspiracy to commit mail and wire fraud.

He pleaded guilty in January to the conspiracy charge and was sentenced Thursday in U.S. District Court’s Northern Iowa District.

Payne and others at Midamar were accused of creating false certificates and writings to give the impression shipments of beef headed for Malaysia and Indonesia had been slaughtered according to Shariah law and met import requirements.

Midamar Corp. founder William Aossey Jr. was found guilty in July of 15 of 19 federal charges involving the sale of misbranded halal beef products and falsifying expert documents. He awaits sentencing.

Jalel and Yahya Aossey, William Aossey’s sons and corporate officers of Midamar and Islamic Services of America Inc., pleaded guilty last month to taking part in the fraud. The brothers each face short prison sentences but Yahya Aossey, convicted of misdemeanor charges, will ask for a deferred judgment and probation.

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