SPRINGFIELD, Ill. - Illinois agriculture officials on Monday began reimbursing farmers who lost money in the largest grain elevator failure in state history.

State Department of Agriculture spokesman John Herath said checks were mailed to six farmers and more will be sent throughout the month. The checks are meant to compensate farmers who had grain stored with Ty-Walk Liquid Sales or had sold the elevator grain but not received payment when it went under in August.

Claims were filed by 327 farmers. Herath said 32 have appealed the amount regulators decided they are owed.

Not all who had grain stored with the company will be repaid, and some with successful claims will not get the full value of their grain. Payments are calculated using a formula that takes into account several factors, including how long the grain was in storage.

Agriculture official say claimants are owed $31.4 million. Claims will be paid from the sale of grain and other assets of Ty-Walk, which total $22.7 million, and from the state Grain Insurance Fund, which has a balance of about $5 million.

MyInky

-- Anonymous, April 02, 2002