Nebraska farmer ordered to pay $1 million restitution in crop insurance case

LINCOLN, Neb. (KLKN) — A Nebraska man was sentenced on Friday for making a false statement in connection with federal crop insurance.

Ross Nelson, 48, of Newman Grove must pay restitution of $1 million and a fine of $30,000.

U.S. District Judge John M. Gerrard also sentenced him to four years of probation, which will include 16 weekends of confinement.

In 2015, Nelson bought insurance for his corn and soybean crops in Holt County through a provider that was reinsured by the Federal Crop Insurance Corporation.

On Oct. 22, 2015, Nelson submitted a notice of loss for his soybeans.

In December, he received a $700,092 indemnity check based on his reported loss.

Nelson also submitted a claim of loss for his corn crop.

But the claims aroused suspicion because Nelson was reporting yields that were inconsistent with those of neighboring farms.

The USDA Risk Management Agency investigated and found that Nelson grew much more corn and soybeans than he claimed.

Categories: Nebraska News, News