KANAWHA, IOWA — Global Processing, Inc., a non-GMO soybean processor, filed for bankruptcy on Oct. 24 in Iowa, after losing its licenses there and in Nebraska.
Based in Kanawha, the company filed for bankruptcy in the US District Court for Northern Iowa. The company’s warehouse and grain dealer licenses were suspended on Oct. 7 in Iowa, and the company surrendered its grain dealer license for two Nebraska facilities on Oct. 12.
In both instances it was found the company did not have sufficient funds to cover its grain purchases in the two states. Without its licenses, Global Processing is not allowed to take grain in those states.
As part of its bankruptcy filing, Global Processing said it owes between 100 and 199 creditors from $10 million to $50 million. It estimated that it has the same amount of assets as it has liabilities.
Anyone with unpaid grain sold to the dealer and/or grain delivered for storage before Oct. 24 can file a claim with the Iowa Grain Depositors and Sellers Indemnity Fund.
The fund can pay farmers 90% of a loss on grain up to a maximum of $300,000 per claimant.
Global Processing’s focus had been on marketing identity-preserved non-GMO food-grade soybeans. Its Iowa facility, which also served as its headquarters, cleaned, bagged and shipped soybeans within the United States and to Asia.
In addition to Iowa, Global Processing has locations in Haigler and Lexington, Neb., and Monticello, Ill. MBN