Seven
beef-packing plants in Brazil’s second-largest beef-industry region have been
closed because courts have frozen the assets of JBS and the company that holds
controlling interest in its shares.
The
company, whose owners face corruption and insider trading charges, said a
combined 730 million reais (C$287.5 million) had been frozen by a lower court
in the state.
The freeze
is related to a tax break the state granted JBS.
Joesley and
Wesley Batista, who hold controlling interest in JBS, have admitted bribing
politicians to gain favours for JBS, and are facing hefty fines for bribery and
now face possible jail time for insider trading.
JBS said it
was working to restore operations and maintain 15,000 direct and 60,000
indirect jobs in the state of Mato Grosso do Sul. It will continue paying
employees normally, the statement said.
JBS is the
world’s largest meat-packing business. In Canada it owns XL Packers of Alberta.
