Farmers lost $9.7M in failed grain elevator

7/9/2014 10:30 AM
By Associated Press

PIERCE, Neb. (AP) — More than 200 Nebraska farmers say they lost $9.7 million when the Pierce grain elevator failed earlier this year, and regulators say many of them won't recover much.

Officials with the state Public Service Commission say they expect to raise $4.7 million from selling the grain the elevator held when it closed. The business also had $880,000 in bonds that will help pay claims.

But the amount of compensation farmers receive will vary based on their situation.

John Fecht, who oversees the commission's Grain Warehouse Division, says farmers who can prove they were storing grain at the elevator will get most, if not all, their money back.

Farmers who sold $4.2 million in grain to the elevator will be lucky to receive 10 cents on every dollar they are owed.

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