Arrest warrants have been issued for a Nicaraguan grains business owner and his daughter after the pair failed to pay $2.5 million to Archer Daniels Midland for import contracts.
The Nicaraguan grains business allegedly failed to pay millions of dollars to Chicago-based agriculture superpower ADM for rice imports, according to Reuters.
As a result, the agribusiness has sought sanctions through the London High Court, which has issued an arrest order for the business’s owner and a senior officer.
Reuters reported on Aug. 13:
In the ADM case, over 6,500 metric tonnes of U.S.-origin rice was shipped to the importer, Corcosa - Corporacion Comercializadora de Granos Basicos, in 2011 and 2012, under six sale contracts in dispute.
Each of those contracts is governed by English law and subject to arbitration by London-based GAFTA - the Grain and Feed Trade Association.
ADM spokeswoman Jackie Anderson said, "On July 21, ADM and its subsidiary ADM Rice, Inc. obtained sanctions from the UK High Court in London against a Nicaraguan company named Corporación Comercializadora de Granos Básicos ("Corcosa"); its owner and president, Enrique Jose Delgadillo Aguirre; and Mr. Delgadillo's daughter and the executive director of the company, Vanessa Auxiliadora Delgadillo Sacasa."
The court imposed prison sentences of up to 18 months on Enrique and Vanessa Delgadillo after it found they had disregarded its orders, Anderson said.
Similar cases and asset-freezing requests have risen in recent years because of falling commodity prices and companies not meeting terms of sales contracts, Reuters reported.