Despite criminal convictions in 2020, JBS meat-packing conglomerate continued to be awarded government contracts in the United States.
News organization Politico obtained United States Department of Agriculture documents that reveal the criminal convictions were a concern, but U.S. Agriculture SecretaryTom Vilsack decided JBS needed to be included in bidding for contracts to maintain competition.
The documents include a letter from U.S. Congress House oversight chair Carolyn Maloney.
In light of parent company JBS SA’s guilty plea in 2020 for violating the U.S. Foreign Corrupt Practices Act, she was wanted to “express my concern that the United States Department of Agriculture (USDA) has continued to award government contracts to JBS USA (JBS), a large meat processor, despite a series of major criminal and civil actions against the parent company and its affiliates for bribery, price fixing, and fraud.”
According to Politico, JBS has received nearly $400 million in federal contracts since October 2017 for nutrition assistance, school/summer meal programs, and food banks. Maloney cited two contracts awarded after the convictions.
In a Nov. 2 response that Politico quoted, Secretary Vilsack told Maloney that removing JBS from the contracts would “impair competitive choice” for the government, given its prominence in the meat industry.
Vilsack also wrote that the USDA considered suspension/debarment processings in a review, but decided on Feb. 8, 2021 to not pursue them.
If USDA had cut ties, no federal agency would have been allowed to contract with JBS.
Nikki Richardson of JBS US responded to Meatingplace Magazine saying "Ii is a privilege to participate in federal food assistance programs that help alleviate food insecurity and provide meals to Americans in need.
“JBS USA is aware of the letter from former Rep. Carolyn Maloney, but had no knowledge of or involvement in any subsequent proceedings. The eligibility of participants is the sole discretion of USDA."
JBS USA also owns Canada’s second-largest beef-packing plant in Alberta.
