Everfresh soybean deal sours
By NICOLE CARTRETTE
Staff Writer
The anticipated export of about five million bushels of soybeans a year by 2015 to Korea, Japan and China was good news for local farmers.
In this case it may have been just too good to be true.
A Korean soybean processing and exporting operation that promised to bring 40 new jobs to Columbus County and offer top pay for soybeans appears to be a dead deal.
Officials learned the $10,000 check given to the Committee of 100 as a good faith payment was no good. The check was drawn on an out-of-state bank and the account had been closed.
The $975,000 contract was never signed. The deal included the purchase of the shell building and 10 acres of land at the industrial park.
Anthony Lee, CEO of Everfresh Korea, said in an e-mail to The News Reporter that his company was no longer looking at locating a plant in Columbus County at this time and that James Yoo is no longer working with Everfresh. Yoo had been the original contact.
“So in the near future, I would like to restart to set up and operate a plant in North Carolina,” Lee wrote in the Jan. 22 email.
“They’re not going to put a plant in Whiteville,” said Dan Weathington, a former executive. He left the company on Dec. 1, 2006.
“Any comments would need to come from Anthony Lee since he is the CEO,” said Weathington, a former agribusiness development specialist with the N.C. Department of Agriculture, who left his state job to take a position with the company.
“I can’t say officially that they are not (coming to Columbus County),” Columbus County Economic Development Director Jim Hinkle said prior to the The News Reporter receiving the email. Hinkle said attempts to contact the company recently have been unsuccessful.
“I don’t know what the situation is,” Hinkle said. “All I can say is, I don’t know. I haven’t heard anything from them.”
Hinkle pointed out the county first made contact with the company through the Department of Agriculture and had no reason to doubt the expectations. “It had credibility, in a sense.”
Hinkle did say, however, that in his 40 years of experience the situation of not officially backing out of a deal and falling out of contact is “not typical.”
“I think they probably had intentions but finances may have fallen apart,” Hinkle said, left to speculate on the real reason for the company’s disappearing act.
“They didn’t ask for one penny out of the county,” Hinkle said, pointing out that he would never advise the county to give any economic incentive until the company was established, had met its obligations and paid its taxes.
Despite the loss of what could have been, Hinkle said it has been a good year for Columbus County.
He pointed out that Hart and Cooley in Tabor City is increasing its production plans to employ about 50 people in addition to the 100 the company employs now.
Idaho Timber in Chadbourn is getting started and will employ 40 to 50. Eudy Cabinets has 30 employees.
In February 2006 Everfresh Inc. announced its plans to purchase the shell building near the Columbus County Industrial Park.
Management said they expected to go into full production by 2008.
Columbus County soon became the envy of agricultural districts throughout the state. The NCDA, N.C. Department of Commerce, the N.C. Soybean Producers Association, all applauded the operation that was certain to bring a world of economic benefits not only to Columbus County but the entire state of North Carolina.
Sam Brake, a representative with the Grain Growers Co-operative, initiated contracts with farmers, a few from Columbus County.
“Everybody involved thought this was a great opportunity for North Carolina soybean producers,” Brake said. “This is just so disappointing.”
Brake said the company starting looking unprofessional when they failed to pay small bills – such as time and mileage they insisted they would pay in association with contracts.
Brake said although farmers had contracts with the company, most came out just as well selling their beans in other markets. He pointed out that there are brokers looking for homes for the soybeans in the U.S.
“We’re not going to let this get us down and we will continue looking for value-added opportunities,” Brake said.
It is unclear what specifically caused the deal to fall apart. Lee offered only a limited explanation in his first email.
In a subsequent email that asked if the company had a plant elsewhere in the U.S., Lee said “I have a good connection company which has a soybean flour plant in Farmer City, Ill. I’m purchasing non-GMO soybean flour goods from that plant.
“My plan is to establish a new plant which (would) produce fermented soybean products in North Carolina. Fermented soybean products are greatly competitive(ly) targeted to South Korea, Japan, and Mainland China.”
On Oct. 2, 2006, a business corporation report was filed with the Secretary of State for Everfresh Inc. Yoo is not mentioned. Byung Chan Lee (Anthony Lee) is listed as CEO, CFO and secretary.
A Lumberton address is listed for the company that describes its nature of business as “import, export garment.” The report lists a principal’s Fayetteville address with a phone number that is disconnected.