Bankrupt Texas beef processor sold

(MGN/file)
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CORPUS CHRISTI, Texas (AP) A South Texas beef processor has been sold to a North Carolina real estate developer at a court-approved bankruptcy auction.

Corpus Christi-based Sam Kane Beef Processors had filed for Chapter 11 bankruptcy protection last month.

In a statement, JDH Capital Co. of Charlotte, North Carolina, said it intends to make "meaningful investments in the processing plant and will continue to operate the business as a going concern.

The slaughterhouse had agreed in a July federal court settlement to pay nearly $38 million over 18 months that it owed to livestock sellers.

Federal law requires next-business-day payment for livestock purchases.

That was after the company was accused of violating a January 2017 order by the U.S. Department of Agriculture requiring the slaughterhouse to make payments when due.