Waste charges could send 2 Rubashkins to prison
BY CLARK KAUFFMAN • ckauffman@dmreg.com • July 7, 2008


The son and grandson of the founder of Agriprocessors are facing potential prison terms on federal charges related to hazardous waste.

Moshe Rubashkin of New York City pleaded guilty in February to a charge of illegal storage of hazardous waste without a permit. His son, Sholom Rubashkin, pleaded guilty to a charge of making a false statement to federal officials. Each of the men faces up to five years in prison and $250,000 in fines.


The pleas were the result of a deal with prosecutors. As part of the deal, the Rubashkins will have to pay the government $450,000 as compensation for site cleanup work.

Moshe Rubashkin is the son of Agriprocessors’ founder Aaron Rubashkin. His son, Sholom, shares the same name as his uncle, an Agriprocessors executive who lives in Postville.

The convictions stem from the Rubashkins’ ownership of Montex Textiles of Pennsylvania. In 2002, two years after the company ceased operations, containers of hazardous waste were being stored at the site without the required environmental permits.

In 2005, the textile mill was scheduled to be sold at a sheriff’s auction because of unpaid taxes. Shortly before the planned sale, a fire broke out at the plant. Over the next few months, there were three more fires — one of which was attributed to arson.

The U.S. Environmental Protection Agency then began a major cleanup of the site, and a grand jury issued indictments against the Rubashkins.

Moshe Rubashkin is expected to be sentenced July16. His son is scheduled for sentencing July 21.

This is not Moshe Rubashkin’s first brush with the law. In 2002, he was fined $233,000 and was sentenced to 15 months in prison for bank fraud.


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