Floyd Farms of Arborg has decided not to renew its licence as a process elevator effective Oct. 1.
The Canadian Grain Commission (CGC) has no reason to suspect any farmers are owed money for grain delivered to Floyd Farms, CGC spokesman Remi Gosselin said. If there are any, they should contact the CGC, he added.
Floyd Farms posted $110,000 in security in the form of a letter of credit to cover its farmer liabilities, Gosselin said.
The CGC recommends farmers get paid immediately after deliver ing grain. Although licensed grain buyers are required to post security, the CGC cannot guarantee it will be enough to cover all what farmers are owed.
Under the Canada Grain Act, administered by the CGC, farmers have 90 days after delivering grain to make a claim against a company’s security.
Once a farmer is issued a cheque he or she has just 30 days to make a claim.
To prove a claim a farmer needs one of the following documents:
Combined primary elevator receipt
Primary elevator receipt
Interim primary elevator receipt
Special bin primary elevator receipt
Cash purchase ticket A scale ticket is not sufficient to support a claim, the CGC says.