North Dakota man pleads guilty in cattle Ponzi scheme; state license revoked

A North Dakota cattle broker has pleaded guilty to a charge stemming from an investigation that found a beef marketing company operated as a Ponzi scheme. 

Taylor Bang of Killdeer pleaded guilty Sept. 9 to one count of conspiracy to commit wire fraud in U.S. District Court in Texas, according to court records. 

Sentencing has been set for Jan. 7. The maximum sentence could include up to five years in prison, a fine and restitution payments.

The North Dakota Department of Agriculture on Monday ordered Taylor Bang Cattle Sales to cease any livestock related sales. Bang’s guilty plea triggered the cease and desist order and the revocation of Bang’s livestock dealer license.

Bang was among five people charged earlier this year in the Agridime investigation. The charges were filed in Texas, where Agridime was based. 

North Dakota man among 5 charged in Agridime cattle fraud case

A judge in August 2024 determined that Agridime had operated as a Ponzi scheme, paying off early investors with money raised from new investors, instead of paying investors with profits from the company. 

The company bought cattle and sold frozen beef from its website to consumers. But payments to investors and cattle producers dried up, with the company owing investors $220 million, court records alleged. 

Many of those owed money were in western North Dakota, where Bang bought cattle for Agridime. The North Dakota Securities Commission has said North Dakota investors were owed about $40 million when federal authorities took over the business late in 2023.

The North Dakota Securities Department has said Bang earned $6 million in commissions from Agridime. Bang told the North Dakota Monitor in December 2023 that the figure was “way high.”  

A voicemail message and text message sent to Bang on Monday was not returned. His attorney in Texas, Dan Cogdell, was not available for comment Monday, according to office staff. 

Bang in February was charged with eight counts of wire fraud, one count of conspiracy to commit wire fraud, and one count of money laundering. 

A court filing by Bang’s attorney in March contended Bang did not engage in fraud or knowingly take part in a Ponzi scheme. 

The indictment said someone sent $240,000 to an account controlled by Bang rather than to an account controlled by Agridime in order to conceal the transaction. The indictment also said Bang falsified dates on records and gave investors false information about identification tags for cattle. 

Reach North Dakota Monitor deputy editor Jeff Beach at [email protected]