Jatinderjeet “Jyoti” Sihota, a family table grape farmer in Fresno and Tulare counties, has pleaded guilty for conspiring to commit crop insurance fraud following a joint investigation by USDA's Office of Inspector General.
The farm operation had a longstanding financial agreement with a fruit packing company – where co-conspirator Ralph Hackett was a manager – to pay back costs incurred from crop sales that were advanced by the company, according to the Justice Department.
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The court found that when Sihota got involved with the family farm in 2012, she and Hackett falsely obtained more than $650,000 in crop insurance payments by underreporting crop amounts sold through the packing company to show crop losses.
Hackett also pleaded guilty for his role in the fraud scheme, where he also involved employees while hiding it from company leaders.
Both are awaiting sentencing early next year and face up to 20 years in federal prison and a $250,000 fine. Hackett is paying $650,000 in criminal restitution and a $605,000 civil settlement.
