1
00:00:00,000 --> 00:00:06,400
In this episode of American Greed, CEO
Stuart Parnell starts with peanuts and

2
00:00:06,400 --> 00:00:10,820
makes millions by cutting corners and
exploiting workers.

3
00:00:11,460 --> 00:00:13,040
It doesn't run like a plantation.

4
00:00:13,500 --> 00:00:18,640
Parnell's peanut butter goes to stores,
schools, hospitals, and U .S. troops.

5
00:00:18,920 --> 00:00:21,740
But his factories are criminally dirty.

6
00:00:22,300 --> 00:00:26,520
We were trying to seal up holes in the
wall to keep mice from coming in.

7
00:00:27,210 --> 00:00:31,970
We found evidence of roaches, rats,
mice, beetles.

8
00:00:32,350 --> 00:00:36,850
The filth breeds one of the biggest food
poisoning outbreaks in U .S. history.

9
00:00:37,890 --> 00:00:39,590
Parnell knows the risk.

10
00:00:40,510 --> 00:00:46,990
But raking in $30 million a year, he
instructs workers to just ship it. I'm

11
00:00:46,990 --> 00:00:51,750
looking at him after seeing those emails
thinking, that's the devil right there.

12
00:00:52,330 --> 00:00:53,870
That's the epitome of greed.

13
00:00:54,410 --> 00:00:56,990
These pictures should be in the
dictionary next to the word greed.

14
00:00:57,430 --> 00:01:03,150
Due to their willful and knowing
actions, they killed nine people.

15
00:01:16,470 --> 00:01:20,610
This could end up being one of the
largest food recalls in U .S. history.

16
00:01:21,450 --> 00:01:25,250
Recall comes after federal officials
confirmed salmonella contamination at a

17
00:01:25,250 --> 00:01:26,250
Georgia facility.

18
00:01:26,810 --> 00:01:30,610
And now the recall is being expanded to
include every item made from peanut

19
00:01:30,610 --> 00:01:33,430
products at that plant in the past two
years.

20
00:01:33,730 --> 00:01:34,730
Peanut butter.

21
00:01:34,950 --> 00:01:40,010
It's a multi -billion dollar a year
industry and one of the most popular

22
00:01:40,010 --> 00:01:41,170
on store shelves.

23
00:01:41,570 --> 00:01:44,950
But in January 2009, it's deadly.

24
00:01:45,550 --> 00:01:48,830
Peanut products are laced with the
salmonella bacteria.

25
00:01:49,290 --> 00:01:50,490
It's sickening.

26
00:01:51,040 --> 00:01:53,520
and even killing people from coast to
coast.

27
00:01:54,440 --> 00:01:58,500
There's a race against time to trace the
source and stop what's turning into a

28
00:01:58,500 --> 00:01:59,620
nationwide panic.

29
00:02:00,380 --> 00:02:04,440
Food and Drug Administration is advising
Americans not to eat any products made

30
00:02:04,440 --> 00:02:07,900
with peanut butter or peanut paste until
further notice. And that includes

31
00:02:07,900 --> 00:02:12,180
cookies and cakes, ice cream, as well as
other foods containing peanut butter

32
00:02:12,180 --> 00:02:13,720
made at this Georgia plant.

33
00:02:15,210 --> 00:02:20,050
Food safety watchdog attorney Bill
Marler knows what this kind of

34
00:02:20,050 --> 00:02:21,130
looks like.

35
00:02:21,710 --> 00:02:26,250
I've been involved in every major and
many minor foodborne illness outbreaks

36
00:02:26,250 --> 00:02:30,290
that have occurred in the United States
in the last 20 -plus years.

37
00:02:31,410 --> 00:02:37,630
They're all tragic, but they all
appropriately freak people out.

38
00:02:38,470 --> 00:02:43,790
By February 2009, Congress is demanding
answers from this man.

39
00:02:44,400 --> 00:02:49,640
Stuart Parnell, President and CEO of
Peanut Corporation of America.

40
00:02:51,460 --> 00:02:55,960
One of the things I'm going to do today
is ask Mr. Parnell from Peanut

41
00:02:55,960 --> 00:03:00,200
Corporation of America if he'd like to
open this and sample some of the

42
00:03:00,200 --> 00:03:03,720
that he didn't think were a problem in
sending out for the rest of us to eat.

43
00:03:04,920 --> 00:03:08,200
Stuart Parnell has apparently lost his
appetite.

44
00:03:08,540 --> 00:03:11,240
He declines the offer to taste the
products.

45
00:03:12,560 --> 00:03:13,800
And with good reason.

46
00:03:14,380 --> 00:03:17,380
Evidence is mounting that this was no
accident.

47
00:03:18,500 --> 00:03:22,420
For two years, the operators of the
Georgia plant at the center of the

48
00:03:22,420 --> 00:03:26,120
investigation may have knowingly sold
contaminated products.

49
00:03:26,640 --> 00:03:30,380
Stuart Parnell's peanut empire is about
to come crashing down.

50
00:03:31,320 --> 00:03:33,880
But it was never supposed to end this
way.

51
00:03:35,620 --> 00:03:40,680
In the rolling hills of central
Virginia, peanuts are a major cash crop.

52
00:03:42,080 --> 00:03:47,020
It's here that Hugh Parnell, Stewart's
father, stakes his claim with the tiny

53
00:03:47,020 --> 00:03:49,240
company Parnell's Peanuts.

54
00:03:49,600 --> 00:03:55,980
In 1977, Hugh overhauls a roasting
facility in Gorman, Texas, and

55
00:03:55,980 --> 00:04:00,780
rechristens his namesake company as
Peanut Corporation of America.

56
00:04:01,320 --> 00:04:05,760
By 1994, revenues soar to more than $20
million.

57
00:04:06,640 --> 00:04:09,360
Hugh cashes out and retires.

58
00:04:10,000 --> 00:04:12,080
But peanuts are a family tradition.

59
00:04:12,980 --> 00:04:17,140
So in 2000, Stuart Parnell buys PCA.

60
00:04:18,040 --> 00:04:22,960
Food safety advocate and ethics
professor Darren Detweiler says Stuart's

61
00:04:22,960 --> 00:04:29,220
ambitions are bigger than his father's.
When Stuart Parnell took over the Peanut

62
00:04:29,220 --> 00:04:34,860
Corporation of America, he radically
expanded the company, both in terms of

63
00:04:34,860 --> 00:04:37,080
and the amount of profit that it was
making.

64
00:04:37,920 --> 00:04:43,420
PCA expands to another plant in Blakely,
Georgia, and at its height, Stuart

65
00:04:43,420 --> 00:04:46,740
Parnell triples revenue in just three
years.

66
00:04:47,620 --> 00:04:48,820
He's on the move.

67
00:04:49,120 --> 00:04:53,220
His brother Michael becomes PCA's number
one peanut broker.

68
00:04:55,260 --> 00:05:01,740
His brother was now a buyer of product
for him, and it wasn't just peanuts.

69
00:05:02,440 --> 00:05:07,280
Peanut powder or peanut dust that was
being used in a lot of different

70
00:05:07,360 --> 00:05:10,640
And that's great business for him
because now he's able to use this

71
00:05:10,640 --> 00:05:11,880
version of the product.

72
00:05:12,380 --> 00:05:18,500
From ice cream to energy bars to frozen
Thai dinners to dog food,

73
00:05:18,920 --> 00:05:22,880
PCA lands new clients throughout the
food supply chain.

74
00:05:23,860 --> 00:05:27,200
But PCA is also hiding dirty little
secrets.

75
00:05:28,020 --> 00:05:30,980
Shoddy sanitation, low -grade peanuts.

76
00:05:31,770 --> 00:05:37,190
and the corporate culture built upon
intimidation, low wages, and

77
00:05:37,190 --> 00:05:38,190
of workers.

78
00:05:38,690 --> 00:05:45,350
In Texas, the management was run by a
handful of white guys, with

79
00:05:45,350 --> 00:05:48,370
all the workers being Mexican
-Americans.

80
00:05:48,690 --> 00:05:53,370
And in Georgia, it was run by a handful
of white guys, and all the workers were

81
00:05:53,370 --> 00:05:54,370
African -American.

82
00:05:54,470 --> 00:05:57,250
It was like, you know, a plantation.

83
00:05:57,710 --> 00:05:59,510
It was run like a plantation.

84
00:06:00,830 --> 00:06:06,250
And just like those bad old days, the
work is profitable for the man on top.

85
00:06:08,050 --> 00:06:12,750
Parnell snaps up another company in
Plainview, Texas, and a roasting and

86
00:06:12,750 --> 00:06:18,110
blanching company in Virginia, close to
his custom -built home on a five -acre

87
00:06:18,110 --> 00:06:19,490
estate in Lynchburg.

88
00:06:20,430 --> 00:06:26,230
Parnell runs his growing PCA dynasty
from a converted garage behind the

89
00:06:26,550 --> 00:06:29,110
The Parnell brothers especially were
making a pretty good living.

90
00:06:29,580 --> 00:06:32,660
Brokering and selling this product
around the United States.

91
00:06:33,280 --> 00:06:36,880
PCA processes around 2 % of America's
peanuts.

92
00:06:37,500 --> 00:06:42,800
Yet they supply product to more than 200
companies, including giants like

93
00:06:42,800 --> 00:06:44,640
Kellogg's and General Mills.

94
00:06:45,240 --> 00:06:48,280
PCA had a pretty broad business.

95
00:06:48,480 --> 00:06:50,000
It had a nice little corner of the
market.

96
00:06:50,220 --> 00:06:54,480
That 2 % was, you know, pretty valuable.

97
00:06:54,900 --> 00:06:58,300
Schools, nursing homes, FEMA relief
kits.

98
00:06:58,750 --> 00:07:02,630
Even America's troops overseas rely on
PCA.

99
00:07:03,170 --> 00:07:09,030
Their products primarily went into then
other products, whether peanut butter

100
00:07:09,030 --> 00:07:13,690
cookies or crackers. And they were these
big tins of peanut butter that

101
00:07:13,690 --> 00:07:19,750
primarily went to hospitals and opal
combs. I think that tells you a lot

102
00:07:19,750 --> 00:07:24,370
sort of how integrated our food system
is that you don't really even know who's

103
00:07:24,370 --> 00:07:25,370
making your stuff.

104
00:07:26,280 --> 00:07:28,640
So who's making sure the food is safe?

105
00:07:29,280 --> 00:07:34,180
Federal food safety agencies are
mandated to monitor and inspect

106
00:07:34,900 --> 00:07:40,080
But with limited resources, these
agencies depend on private companies to

107
00:07:40,080 --> 00:07:41,260
their own operations.

108
00:07:43,140 --> 00:07:48,620
Perhaps surprisingly, given the scandal
that will later emerge, Stuart Parnell

109
00:07:48,620 --> 00:07:51,500
sits on the government's peanut standard
board.

110
00:07:51,920 --> 00:07:54,380
The fox is guarding the hen house.

111
00:07:56,140 --> 00:07:58,280
And the hen house is a filthy mess.

112
00:08:00,560 --> 00:08:07,420
To maximize profits and to minimize
expenses, this peanut dust

113
00:08:07,420 --> 00:08:10,840
and powder would sit there in the open,
uncovered.

114
00:08:11,580 --> 00:08:16,100
And during that time, there was rat
infestation. They found holes in the

115
00:08:16,100 --> 00:08:19,760
and water would gather and bird
droppings would get into the water. They

116
00:08:19,760 --> 00:08:21,040
seep into this product.

117
00:08:21,860 --> 00:08:24,480
And sometimes he literally had
employees.

118
00:08:25,280 --> 00:08:29,500
sweep off some of the rat poop. This was
just business as usual, the idea of put

119
00:08:29,500 --> 00:08:30,500
it out there.

120
00:08:31,400 --> 00:08:36,780
Fortunately for the consumer, most major
food conglomerations, like Parnell's

121
00:08:36,780 --> 00:08:41,240
biggest clients, want to make sure their
providers are meeting safety standards.

122
00:08:41,860 --> 00:08:44,880
They require independent laboratory
testing.

123
00:08:46,020 --> 00:08:52,680
So PCA hires several labs, including
Charles Dybels, to test its peanut

124
00:08:52,680 --> 00:08:55,320
samples. Food manufacturers want to make
food.

125
00:08:55,640 --> 00:09:01,000
They don't necessarily want to do all of
that in -house. It has to do with core

126
00:09:01,000 --> 00:09:05,080
competencies. Their core competencies
are not to run laps. That's what we do.

127
00:09:05,620 --> 00:09:09,760
Accurate testing takes anywhere from 28
hours to five days.

128
00:09:10,620 --> 00:09:16,560
Dymo looks for several pathogens,
including the Salmonella bacterium,

129
00:09:16,560 --> 00:09:22,280
cause vomiting, diarrhea, dehydration,
and in some cases, death.

130
00:09:23,050 --> 00:09:27,050
At each stage of the process, you're
whittling that down to your target. And

131
00:09:27,050 --> 00:09:31,170
then you finally get your target
organism by what we call a confirmation

132
00:09:31,430 --> 00:09:36,190
It's the last step in the process where
we can say, yay or nay. This is

133
00:09:36,190 --> 00:09:37,970
salmonella or this is not salmonella.

134
00:09:38,250 --> 00:09:40,750
And if the results come back positive?

135
00:09:41,330 --> 00:09:46,150
One positive takes precedence over
however many negatives you may have

136
00:09:46,150 --> 00:09:48,390
that lot. You don't release it into
commerce.

137
00:09:48,870 --> 00:09:53,490
Not only that, though, if the product
itself is contaminated, all the

138
00:09:53,490 --> 00:09:56,610
that that product touched is now
contaminated.

139
00:09:57,350 --> 00:10:03,710
When American Greed returns, PCA test
results are coming back positive for

140
00:10:03,710 --> 00:10:07,270
salmonella. But that's an easy fix.

141
00:10:07,850 --> 00:10:13,930
Stu Parnell had his quality assurance
manager literally take documents and use

142
00:10:13,930 --> 00:10:18,870
liquid paper to cover up the date and
put a new date on it to satisfy food

143
00:10:18,870 --> 00:10:21,010
companies that wanted to buy that
product.

144
00:10:35,530 --> 00:10:40,650
By the mid -2000s, Stuart Parnell is
making big money in peanuts.

145
00:10:41,670 --> 00:10:47,210
But Parnell is also turning a blind eye
to glaring sanitation problems at his

146
00:10:47,210 --> 00:10:51,850
factories. And he runs roughshod over
food safety standards.

147
00:10:53,210 --> 00:10:57,450
Some of the lots that they were shipping
out didn't even get tested. It was

148
00:10:57,450 --> 00:10:59,850
economic to him, and he didn't care
about the consumer.

149
00:11:01,480 --> 00:11:06,020
Parnell ships products out the door
before getting test results at least six

150
00:11:06,020 --> 00:11:09,080
times between 2004 and 2006.

151
00:11:10,360 --> 00:11:15,220
Even more troubling, some of the tests
that are being performed come back

152
00:11:15,220 --> 00:11:16,940
positive for Salmonella.

153
00:11:17,600 --> 00:11:20,580
And Salmonella is bad for business.

154
00:11:22,320 --> 00:11:28,420
Stewart's brother is getting all these
deals put together and they need to feed

155
00:11:28,420 --> 00:11:29,660
the system.

156
00:11:30,709 --> 00:11:33,890
And, you know, they're getting contracts
with Kellogg. They're getting contracts

157
00:11:33,890 --> 00:11:37,250
with a variety of other middlemen.
They're saying, give me, give me, give

158
00:11:37,250 --> 00:11:39,190
give me, give me the peanut butter. Give
me the peanut chips.

159
00:11:39,490 --> 00:11:45,550
And they couldn't keep up with the
orders because they kept getting

160
00:11:45,550 --> 00:11:46,550
salmonella tests.

161
00:11:47,170 --> 00:11:52,390
If he pulls the product, Parnell risks
plunging into a financial abyss of debt.

162
00:11:52,670 --> 00:11:55,650
So he plays a dangerous game of Russian
roulette.

163
00:11:56,670 --> 00:11:57,670
Here's how it works.

164
00:11:58,280 --> 00:12:03,920
In any given vat of peanuts, salmonella
may exist only in isolated pockets.

165
00:12:04,660 --> 00:12:06,720
Parnell exploits this fact.

166
00:12:07,080 --> 00:12:12,900
They came up with this very intricate
scheme where they would take more

167
00:12:12,900 --> 00:12:19,480
tests on a lot than they would normally
do it, and then they would send it out

168
00:12:19,480 --> 00:12:22,040
to multiple different labs.

169
00:12:22,760 --> 00:12:26,180
And some of the labs would come back
negative.

170
00:12:26,940 --> 00:12:28,440
Some of them would come back positive.

171
00:12:28,880 --> 00:12:34,380
A positive result would force any
ethical owner to dump the entire lot in

172
00:12:34,380 --> 00:12:35,380
local landfill.

173
00:12:35,840 --> 00:12:41,420
What they would do is they would get rid
of those test results and only use the

174
00:12:41,420 --> 00:12:45,040
certificate analysis that said negative.

175
00:12:45,360 --> 00:12:48,140
This cherry -picking of data works for a
while.

176
00:12:48,440 --> 00:12:54,560
But then Parnell and his quality
assurance team abandon any pretense of

177
00:12:54,560 --> 00:12:55,560
science.

178
00:12:55,920 --> 00:12:58,960
They simply rewrite the bad test
results.

179
00:12:59,980 --> 00:13:05,180
Eventually, they just started forging
the certificate of analysis to say they

180
00:13:05,180 --> 00:13:06,180
were all negative.

181
00:13:06,340 --> 00:13:12,300
And you wonder what the hell they were
thinking about. They don't bother

182
00:13:12,300 --> 00:13:16,260
customers that test results come back
positive for salmonella.

183
00:13:16,740 --> 00:13:21,540
And when customers like Bloomfield
Bakers learn from their own lab tests

184
00:13:21,540 --> 00:13:26,510
the PCA peanuts they're using are
tainted, Well, Stewart's just as shocked

185
00:13:26,510 --> 00:13:27,449
they are.

186
00:13:27,450 --> 00:13:32,570
So when somebody was saying, hey, it
tested positive, it was like, oh, why

187
00:13:32,570 --> 00:13:33,570
that do that?

188
00:13:34,090 --> 00:13:39,250
On October 5, 2006, Stewart writes to
Bloomfield Baker's director of

189
00:13:39,610 --> 00:13:41,630
I am dumbfounded.

190
00:13:41,990 --> 00:13:47,750
In over 26 years of business, he says
he's not found any instances, even

191
00:13:47,870 --> 00:13:49,350
of a salmonella problem.

192
00:13:50,670 --> 00:13:54,790
Year after year, emails revealed the
real Stuart Parnell.

193
00:13:55,910 --> 00:14:02,030
He complains that lab tests are breaking
me. When employees ask for critical

194
00:14:02,030 --> 00:14:06,690
test equipment, Stuart says, only if we
will not get screwed.

195
00:14:07,570 --> 00:14:10,330
This is costing us huge dollars.

196
00:14:10,770 --> 00:14:13,650
Lie about the sales if it saves us
money.

197
00:14:14,710 --> 00:14:17,090
The lies ensure a cushy existence.

198
00:14:17,630 --> 00:14:19,470
He has a horse country estate.

199
00:14:20,680 --> 00:14:24,220
And the avid outdoorsman hits the waves
in his powerboat.

200
00:14:24,640 --> 00:14:26,120
Or heads skyward.

201
00:14:26,440 --> 00:14:31,260
Parnell is a licensed pilot and owns a
two -seater Mooney M20.

202
00:14:32,300 --> 00:14:34,840
He enjoys weekends at Oakwood Country
Club.

203
00:14:35,480 --> 00:14:42,000
And an odd touch of luxury in his
otherwise dank Texas plant, a custom

204
00:14:42,000 --> 00:14:44,740
tub to soothe away any frayed nerves.

205
00:14:46,760 --> 00:14:49,500
Life is good for PCA's man in the big
chair.

206
00:14:50,340 --> 00:14:52,240
Revenues are almost $30 million.

207
00:14:53,240 --> 00:14:57,160
But one place the money isn't going is
factories.

208
00:14:58,200 --> 00:15:01,940
The man owns an airplane, so obviously
he wasn't starving to that.

209
00:15:02,220 --> 00:15:05,600
We wouldn't put any money into this
company, and we're always complaining

210
00:15:05,600 --> 00:15:12,380
money. PCA hires Kenneth Kendrick in
July 2006 as an assistant plant manager

211
00:15:12,380 --> 00:15:13,380
Plainview, Texas.

212
00:15:14,120 --> 00:15:18,880
With a background in lab testing for the
meat industry, he should be an instant

213
00:15:18,880 --> 00:15:22,940
asset. But it seemed like I'd stepped
back in time 50 years.

214
00:15:23,460 --> 00:15:27,480
Something was always being welded and
patched back together, and you could

215
00:15:27,480 --> 00:15:30,780
tell by looking at it, it was over
-equipment.

216
00:15:31,100 --> 00:15:37,640
Their idea of a lab and quality control
on that was making sure the peanuts were

217
00:15:37,640 --> 00:15:38,640
the right color.

218
00:15:39,160 --> 00:15:41,160
It's even worse than he thinks.

219
00:15:42,010 --> 00:15:45,950
Stuart Parnell hasn't registered his
Plainview plant with the Food and Drug

220
00:15:45,950 --> 00:15:46,950
Administration.

221
00:15:47,270 --> 00:15:50,430
The agency has no idea it even exists.

222
00:15:51,650 --> 00:15:53,390
Kendrick's new job is off the grid.

223
00:15:54,170 --> 00:15:56,050
He's working at a ghost factory.

224
00:15:57,150 --> 00:15:59,570
Where were these problems? How were they
being hidden?

225
00:16:00,010 --> 00:16:02,850
Well, it's hard to find those problems
if you don't even know that the facility

226
00:16:02,850 --> 00:16:03,850
exists.

227
00:16:04,199 --> 00:16:06,240
ironically, in Plainview, Texas.

228
00:16:06,720 --> 00:16:11,600
Within weeks of taking the job, Kendrick
is appalled by what he finds.

229
00:16:11,980 --> 00:16:16,480
We were trying to fill up holes in the
wall to keep mice from coming in.

230
00:16:16,880 --> 00:16:21,200
I expected there would be, like, this
routine lab testing and these things in

231
00:16:21,200 --> 00:16:26,220
place that, you know, were just
standard, and they just simply weren't

232
00:16:26,860 --> 00:16:30,220
The safety of the food was never a
concern.

233
00:16:31,470 --> 00:16:35,870
I got alarmed at the amount of positive
they were getting. We actually got on

234
00:16:35,870 --> 00:16:39,110
the phone with the quality manager at
the time and said, hey, I'm available.

235
00:16:39,350 --> 00:16:42,110
If you need help, you know, I'm
available.

236
00:16:42,410 --> 00:16:47,310
And his answer was basically, I actually
like the positive because then maybe we

237
00:16:47,310 --> 00:16:48,990
can force the owner to take action.

238
00:16:49,350 --> 00:16:53,830
And I remember leaving that phone call
thinking, God, this company is cheap.

239
00:16:55,180 --> 00:16:59,980
One of my favorite quotes from Parnell's
email is, we have a lady in Texas who's

240
00:16:59,980 --> 00:17:04,920
good with the whiteout. So apparently
other people were just taking the next

241
00:17:04,920 --> 00:17:11,880
closest sample somebody had done and
using that lab report and sending

242
00:17:11,880 --> 00:17:13,339
it with the peanuts.

243
00:17:14,200 --> 00:17:19,480
And when Kendrick offers to actually fix
the problems rather than just cover

244
00:17:19,480 --> 00:17:22,500
them up, this is the response he gets
from Parnell.

245
00:17:23,050 --> 00:17:26,410
So I called him and said, hey, I used to
work in a lab. I hear that you have

246
00:17:26,410 --> 00:17:28,710
this problem. He goes, I have Hartford
insurance.

247
00:17:28,910 --> 00:17:31,890
Don't worry about it. I need to get back
to work on other things.

248
00:17:32,890 --> 00:17:36,490
In November 2006, Kendrick quits.

249
00:17:37,150 --> 00:17:40,810
I'd been there four months. I thought
something bad was going to happen here.

250
00:17:40,990 --> 00:17:45,770
You know, I knew something was going to
go bad at some point, and I just didn't

251
00:17:45,770 --> 00:17:46,770
want to be part of it.

252
00:17:47,350 --> 00:17:48,830
When American Greed returns.

253
00:17:49,790 --> 00:17:54,330
Stuart Parnell's greed and corner
-cutting take a human toll.

254
00:17:54,670 --> 00:17:57,030
Cancer couldn't claim her, but peanut
butter did.

255
00:18:10,450 --> 00:18:16,050
Peanut Corporation of America is
knowingly shipping salmonella -laced

256
00:18:16,370 --> 00:18:17,970
and they have been for years.

257
00:18:19,050 --> 00:18:24,750
CEO Stuart Parnell's emails spelled out
his callous disregard for other people's

258
00:18:24,750 --> 00:18:27,570
health. He writes, no test results?

259
00:18:28,070 --> 00:18:29,330
Just ship it.

260
00:18:29,530 --> 00:18:31,650
I'll hold my breath again.

261
00:18:31,970 --> 00:18:33,050
Turn them loose.

262
00:18:33,510 --> 00:18:40,270
They were operating outside industry
norms, and they willfully released

263
00:18:40,270 --> 00:18:41,249
that was contaminated.

264
00:18:41,250 --> 00:18:43,550
And they did it again and again and
again.

265
00:18:43,930 --> 00:18:49,320
Former employee Kenneth Kendrick,
disturbed by what he's seen, goes into

266
00:18:49,320 --> 00:18:53,820
whistleblower mode and sends anonymous
emails to health departments and food

267
00:18:53,820 --> 00:18:56,680
companies warning them about PCA.

268
00:18:57,300 --> 00:19:00,740
Unfortunately, his cries fall on deaf
ears.

269
00:19:01,900 --> 00:19:07,080
I had sent anonymous emails to the Texas
Department of Health. Now, they denied

270
00:19:07,080 --> 00:19:10,720
getting any from a Mr. Kendrick. Well, I
didn't send them under Mr.

271
00:19:10,920 --> 00:19:14,280
Kendrick. I couldn't get the attention
of anyone.

272
00:19:14,700 --> 00:19:17,200
That's, you know, your average Joe off
the street.

273
00:19:18,250 --> 00:19:22,230
I never wanted to go in the press. I'm
not good at this. I don't like this.

274
00:19:22,530 --> 00:19:23,870
There was no regulation.

275
00:19:24,130 --> 00:19:25,130
No one cared.

276
00:19:25,870 --> 00:19:31,710
Despite his frustration, or maybe
because of it, Kendrick has an uneasy

277
00:19:31,710 --> 00:19:33,030
about PCA.

278
00:19:33,550 --> 00:19:37,550
I somehow had a feeling. I was like, I'm
going to hear about this again someday.

279
00:19:38,330 --> 00:19:40,990
Someday arrives in September 2008.

280
00:19:42,000 --> 00:19:47,380
In mild cases, salmonella poisoning
causes painful abdominal cramps, fever,

281
00:19:47,580 --> 00:19:49,240
vomiting, and diarrhea.

282
00:19:49,760 --> 00:19:56,720
But if it enters the bloodstream,
salmonella can be deadly, especially for

283
00:19:56,720 --> 00:19:58,100
very young and old.

284
00:19:58,800 --> 00:20:04,020
The strain that we isolated from PCA was
salmonella typhimurium. This is an

285
00:20:04,020 --> 00:20:05,020
organism that will kill.

286
00:20:06,020 --> 00:20:09,100
The people that it has the most...

287
00:20:09,520 --> 00:20:14,500
adverse effects on are what we call
immunocompromised, the elderly, infants,

288
00:20:14,720 --> 00:20:16,140
small children, pregnant women.

289
00:20:16,600 --> 00:20:21,220
By November 2008, those symptoms are
popping up in clusters.

290
00:20:22,060 --> 00:20:28,300
At first, it's three states, then 12,
14, 28,

291
00:20:28,640 --> 00:20:29,640
46.

292
00:20:30,980 --> 00:20:37,440
U .S. Senator Amy Klobuchar serves
Minnesota, a state affected by the

293
00:20:37,960 --> 00:20:42,280
The CDC and the FDA, everyone works
together on these kinds of things, and

294
00:20:42,280 --> 00:20:45,800
sometimes the state health departments
discover something first, and it's

295
00:20:45,800 --> 00:20:50,940
telling them. Half the people who fell
sick fell sick before there was even any

296
00:20:50,940 --> 00:20:53,160
kind of consumer awareness or notice.

297
00:20:54,320 --> 00:21:00,560
That December in Perham, Minnesota, Jeff
Allmer's mother Shirley is a living

298
00:21:00,560 --> 00:21:06,000
miracle. In two years' time, she's
beaten lung cancer, then brain cancer.

299
00:21:06,560 --> 00:21:11,440
But she's still weak, and minor
dehydration lands her in a rehab center

300
00:21:11,440 --> 00:21:12,440
regain strength.

301
00:21:13,380 --> 00:21:16,680
Doctors say not to worry, she'll be home
by Christmas.

302
00:21:17,200 --> 00:21:22,260
She seemed to be having a better
appetite and eating, and, you know, she

303
00:21:22,260 --> 00:21:25,800
particularly liked chicken and peanut
butter toast.

304
00:21:27,280 --> 00:21:29,280
It was a good thing that she ate those
things.

305
00:21:29,640 --> 00:21:34,460
But on December 21st, instead of
planning a cancer -free Christmas with

306
00:21:34,460 --> 00:21:37,900
mom, Shirley's children get shocking
news.

307
00:21:39,040 --> 00:21:44,540
The doctors recommended that all the
family get up to the hospital to see her

308
00:21:44,540 --> 00:21:46,620
because they didn't expect her to last
that day.

309
00:21:47,620 --> 00:21:50,360
Shirley Allmer dies late that evening.

310
00:21:50,780 --> 00:21:56,120
Doctors think pneumonia is the culprit,
but the medical examiner has a different

311
00:21:56,120 --> 00:21:57,120
conclusion.

312
00:21:57,740 --> 00:22:01,860
It came out in her autopsy.

313
00:22:02,510 --> 00:22:05,090
or the death certificate that she had
sepsis.

314
00:22:05,870 --> 00:22:08,390
And sepsis is blood poisoning,
basically.

315
00:22:09,430 --> 00:22:10,910
And we thought that was odd.

316
00:22:11,350 --> 00:22:14,590
Weeks later, Jeff happens upon something
else.

317
00:22:14,910 --> 00:22:21,030
I was reading an Associated Press report
that casually mentioned a 72 -year -old

318
00:22:21,030 --> 00:22:23,430
northern Minnesota woman died from
salmonella poisoning.

319
00:22:23,970 --> 00:22:25,330
My mom's 72.

320
00:22:25,970 --> 00:22:29,250
She's up in northern Minnesota, and she
had blood poisoning.

321
00:22:29,740 --> 00:22:33,880
A call to the Minnesota Health
Department leaves Jeff's family stunned.

322
00:22:34,520 --> 00:22:37,240
They said, I'm sorry you have to hear it
this way, but that's your mother

323
00:22:37,240 --> 00:22:38,240
they're reporting on.

324
00:22:38,880 --> 00:22:41,100
Cancer couldn't claim her, but peanut
butter did.

325
00:22:43,680 --> 00:22:50,240
In Portland, Oregon, on January 3, 2009,
three -year -old Jacob Hurley's parents

326
00:22:50,240 --> 00:22:51,860
think he might have the flu.

327
00:22:52,360 --> 00:22:56,160
He's listless, throwing up, feverish,
and miserable.

328
00:22:57,550 --> 00:23:02,570
When one of your children is sick,
you're scared for them, and you feel a

329
00:23:02,570 --> 00:23:03,570
bit helpless.

330
00:23:04,070 --> 00:23:06,650
There's blood in his diarrhea.

331
00:23:07,190 --> 00:23:12,810
So we go to the pediatrician, but the
whole time, all it is is just treat it

332
00:23:12,810 --> 00:23:18,410
like the flu. If there's anything that
he likes and can keep down, go ahead and

333
00:23:18,410 --> 00:23:23,670
feed it to him. In Jacob's case, that
ultimate comfort food isn't ice cream or

334
00:23:23,670 --> 00:23:26,330
popsicles. It's peanut butter crackers.

335
00:23:27,080 --> 00:23:33,500
Then we get a phone call from the
doctor's office saying that he tested

336
00:23:33,500 --> 00:23:35,020
for salmonella poisoning.

337
00:23:35,280 --> 00:23:40,960
So the doctor just said, keep doing what
you're doing, and you can feed him

338
00:23:40,960 --> 00:23:42,240
whatever he likes.

339
00:23:43,040 --> 00:23:46,860
Jacob's parents have no reason to think
the crackers are poisoning their little

340
00:23:46,860 --> 00:23:49,360
boy, so he continues to eat them.

341
00:23:49,600 --> 00:23:53,400
He was sick for a full week, pushing 10
days.

342
00:23:53,680 --> 00:23:55,620
The doctor didn't know what the source
was.

343
00:23:56,460 --> 00:23:57,860
Nobody knew what the source was.

344
00:23:58,100 --> 00:24:03,180
In January 2009, local health
authorities and the Centers for Disease

345
00:24:03,180 --> 00:24:09,020
used DNA testing to positively identify
the culprit, PCA peanuts.

346
00:24:09,400 --> 00:24:16,260
The fact that the DNA was so unique and
100

347
00:24:16,260 --> 00:24:22,980
% match between the peanut butter
cracker sample, unadulterated, that we

348
00:24:22,980 --> 00:24:23,980
from our house.

349
00:24:24,560 --> 00:24:29,000
had an exact match to the DNA salmonella
in Jake's stool.

350
00:24:29,540 --> 00:24:33,120
For the federal government, that was the
smoking gun.

351
00:24:34,060 --> 00:24:40,240
After two weeks, Jacob Hurley fully
recovers. But the experience forever

352
00:24:40,240 --> 00:24:41,700
his parents' perspective.

353
00:24:42,240 --> 00:24:45,960
You start to get an inkling that this is
just the tip of the iceberg.

354
00:24:46,260 --> 00:24:51,380
And then you realize that, how lucky we
were.

355
00:24:52,840 --> 00:24:57,320
PCA peanuts will claim the lives of nine
victims in five states.

356
00:24:58,860 --> 00:25:04,640
For U .S. Senators Amy Klobuchar and Al
Franken of Minnesota, the outbreak hits

357
00:25:04,640 --> 00:25:06,520
especially close to home.

358
00:25:07,580 --> 00:25:12,120
Three of the nine people that died
because of the contaminated peanut

359
00:25:12,120 --> 00:25:17,980
were in my state. In the case of Shirley
Allmer, the grandma, 72 -year -old

360
00:25:17,980 --> 00:25:22,120
grandma who died, she was surviving
cancer and had no warning.

361
00:25:22,440 --> 00:25:29,300
We just didn't have in place the
mechanisms for tracing back to where

362
00:25:29,300 --> 00:25:30,360
this came from.

363
00:25:30,640 --> 00:25:36,940
That's what was so tragic about Jeff's
mom, which is that she had some peanut

364
00:25:36,940 --> 00:25:39,800
butter from a jar that had been on the
shelves for months.

365
00:25:41,540 --> 00:25:43,200
When American Greed returns,

366
00:25:44,340 --> 00:25:48,920
Stuart Parnell comes face to face with
his victims and the congressional

367
00:25:48,920 --> 00:25:53,110
firestorm. So the food poisoning of
people, is that just the cost of doing

368
00:25:53,110 --> 00:25:54,130
business for your company?

369
00:26:06,370 --> 00:26:12,590
By the time the CDC identifies Peanut
Corporation of America as the source of

370
00:26:12,590 --> 00:26:17,610
the salmonella outbreak, its products
have already been distributed, sold, and

371
00:26:17,610 --> 00:26:19,010
sometimes eaten.

372
00:26:19,610 --> 00:26:22,050
Everything is on such a lag, such a
delay.

373
00:26:22,850 --> 00:26:25,610
So you just never knew where it was
going to end at that point.

374
00:26:27,250 --> 00:26:31,590
Retailers scramble to pull anything with
possible PCA products off their

375
00:26:31,590 --> 00:26:32,590
shelves.

376
00:26:32,830 --> 00:26:38,590
And with the modern food supply chain so
interconnected, the list grows longer

377
00:26:38,590 --> 00:26:39,590
every day.

378
00:26:40,170 --> 00:26:45,670
When you start seeing the news reports
of things that you never even thought

379
00:26:45,710 --> 00:26:48,670
like dog food that had peanut butter in
them, this affected.

380
00:26:49,130 --> 00:26:54,370
Everybody. One -time PCA employee
Kenneth Kendrick watches in horror.

381
00:26:54,630 --> 00:26:59,510
So far, officials don't even know about
PCA's Plainview facility.

382
00:27:00,250 --> 00:27:04,210
Texas is still operating full tilt, and
there was even a shelter in Virginia

383
00:27:04,210 --> 00:27:05,590
still operating full tilt.

384
00:27:05,830 --> 00:27:12,830
I'm sending emails, getting generic
responses, and I'm starting to get kind

385
00:27:12,830 --> 00:27:16,630
of very frustrated at this point. Hey,
is nobody still looking at Texas? What

386
00:27:16,630 --> 00:27:17,630
going on here?

387
00:27:18,580 --> 00:27:21,260
Kendrick finally gets the attention of
the FDA.

388
00:27:21,720 --> 00:27:26,520
He knows all the dirty little secrets
and draws maps for the investigators.

389
00:27:27,220 --> 00:27:31,100
I need you to take ten steps. Take a
left, open this door, and go upstairs.

390
00:27:31,520 --> 00:27:34,220
If you go upstairs, you're going to see
a false ceiling. You're going to find

391
00:27:34,220 --> 00:27:34,999
dead rats.

392
00:27:35,000 --> 00:27:40,580
Civil attorney Ron Simon tours the
Georgia plant and shares his findings

393
00:27:40,580 --> 00:27:45,280
reporters. We found evidence of roaches,
rats, mice.

394
00:27:46,000 --> 00:27:49,840
Beetle, we even found in one instance,
broken wire in the peanut paste.

395
00:27:50,120 --> 00:27:54,060
Meanwhile, during a 2009 interview with
the Virginia TV station,

396
00:27:54,800 --> 00:28:01,380
Stuart Parnell's sister, Beth Falwell,
insists that PCA plants are just fine

397
00:28:01,380 --> 00:28:05,640
and says Parnell's critics simply don't
have a head for business.

398
00:28:06,260 --> 00:28:10,600
They're throwing slanders at him.
They're saying he's done these things.

399
00:28:10,600 --> 00:28:15,060
people would stop and think, why would
we have some filthy building?

400
00:28:15,800 --> 00:28:16,940
doing work for Kellogg.

401
00:28:18,840 --> 00:28:22,860
People that have never been in business
don't know. They know nothing about what

402
00:28:22,860 --> 00:28:23,860
it takes to run a business.

403
00:28:25,280 --> 00:28:30,220
Stuart Parnell is about to have the
worst month of his life so far.

404
00:28:31,640 --> 00:28:37,940
On Monday, February 9, 2009, the FBI
raids PCA's Lynchburg, Virginia

405
00:28:37,940 --> 00:28:41,440
headquarters, located in Stuart
Parnell's garage.

406
00:28:42,540 --> 00:28:45,120
They also raid the Blakely, Georgia
plant.

407
00:28:46,000 --> 00:28:52,420
Two days later, Parnell and PCA take the
blame at a congressional hearing on the

408
00:28:52,420 --> 00:28:58,120
outbreak. Lives were lost and people
were sickened because they took a

409
00:28:58,200 --> 00:29:01,600
and I believe knowingly, shipping
product that was contaminated.

410
00:29:02,380 --> 00:29:06,320
The hearing reveals bombshell after
bombshell.

411
00:29:07,420 --> 00:29:09,760
Parnell's emails are damning.

412
00:29:11,600 --> 00:29:17,860
And I'm looking at him, having after
seeing those emails, thinking, that's

413
00:29:17,860 --> 00:29:18,860
devil right there.

414
00:29:19,100 --> 00:29:20,640
That's the epitome of greed.

415
00:29:21,780 --> 00:29:24,760
His picture should be in the dictionary
next to the word greed.

416
00:29:25,980 --> 00:29:27,920
Peter Hurley testifies.

417
00:29:28,540 --> 00:29:32,320
People have died due to PCA's willful
negligence.

418
00:29:32,520 --> 00:29:37,140
And while he doesn't speak, just seeing
the face of three -year -old survivor

419
00:29:37,140 --> 00:29:38,140
Jacob Hurley.

420
00:29:38,650 --> 00:29:41,010
drives home what's really at stake.

421
00:29:42,130 --> 00:29:47,350
Oregon House Representative Greg Walden
knows all about Jacob, and he's

422
00:29:47,350 --> 00:29:52,870
outraged. One of the things I'm going to
do today is ask Mr. Parnell from Peanut

423
00:29:52,870 --> 00:29:57,090
Corporation of America if he'd like to
open this and sample some of the

424
00:29:57,090 --> 00:30:00,630
that he didn't think were a problem in
sending out for the rest of us to eat.

425
00:30:01,150 --> 00:30:04,130
Parnell pleads the fifth five times.

426
00:30:05,330 --> 00:30:08,930
Mr. Chairman and members of the
committee, on the advice of my counsel,

427
00:30:08,930 --> 00:30:14,830
respectfully decline to answer your
question based on the protection

428
00:30:14,830 --> 00:30:15,910
under the United States Constitution.

429
00:30:16,730 --> 00:30:20,210
He was going to hide behind the Fifth
Amendment, which he had a constitutional

430
00:30:20,210 --> 00:30:22,230
right to do, and I knew that.

431
00:30:22,430 --> 00:30:27,590
But to me, it was the question of the
moment. It was, you didn't seem to think

432
00:30:27,590 --> 00:30:32,810
it was a problem to cut it loose because
you were worried about your money.

433
00:30:33,290 --> 00:30:36,290
and let people see how it plays in the
marketplace.

434
00:30:36,730 --> 00:30:40,450
And it didn't play well. It killed, it
sickened, it robbed people of their

435
00:30:40,450 --> 00:30:42,510
futures and their family members, and it
was wrong.

436
00:30:43,090 --> 00:30:48,470
Four days after the public excoriation,
on February 13, 2009,

437
00:30:49,010 --> 00:30:51,450
PCA files for bankruptcy.

438
00:30:52,490 --> 00:30:59,350
They were obviously facing these illness
claims, but also all the recall cost

439
00:30:59,350 --> 00:31:02,090
claims. PCA didn't have recall
insurance.

440
00:31:03,240 --> 00:31:04,300
There was nothing there.

441
00:31:04,500 --> 00:31:05,500
So they just went.

442
00:31:05,740 --> 00:31:08,580
The recall hits food suppliers hard.

443
00:31:08,800 --> 00:31:12,680
An estimated $200 million in short -term
losses.

444
00:31:13,320 --> 00:31:15,640
The human toll hits harder.

445
00:31:16,340 --> 00:31:21,160
There's not a day that goes by that I
don't think about my mom and I don't

446
00:31:21,160 --> 00:31:22,160
about the circumstances.

447
00:31:22,460 --> 00:31:25,220
My mom died and she shouldn't have died.

448
00:31:26,280 --> 00:31:27,720
Could have been prevented.

449
00:31:28,380 --> 00:31:31,720
By April 2009, the outbreak is over.

450
00:31:32,350 --> 00:31:39,130
While the CDC's official toll lists 714
people in 46 states sickened,

451
00:31:39,130 --> 00:31:43,850
they estimate dozens more victims for
every one illness reported.

452
00:31:44,430 --> 00:31:48,030
But the true toll could be as high as 20
,000.

453
00:31:48,430 --> 00:31:50,110
At least nine are dead.

454
00:31:51,150 --> 00:31:54,170
I couldn't sleep at night knowing I let
more people die.

455
00:31:54,770 --> 00:31:59,570
And I sometimes still cry at night for
the nine who did, that I wasn't able to

456
00:31:59,570 --> 00:32:01,230
stop that back when I worked there.

457
00:32:01,720 --> 00:32:06,000
and replay in my head a million
different ways.

458
00:32:06,960 --> 00:32:09,080
Who else could I have tried to contact?

459
00:32:09,760 --> 00:32:16,080
Darren Detweiler knows what that loss
feels like. In 1993, his 16 -month -old

460
00:32:16,080 --> 00:32:21,800
son Riley was the last to die from an E.
coli outbreak that started with Jack in

461
00:32:21,800 --> 00:32:22,960
the Box hamburgers.

462
00:32:23,200 --> 00:32:27,480
There were no state or federal charges
brought against Jack in the Box at the

463
00:32:27,480 --> 00:32:30,180
time, but they admitted that they broke
the law.

464
00:32:30,680 --> 00:32:37,020
And you've got to really start to
wonder, what is the prosecutorial

465
00:32:37,020 --> 00:32:42,380
when it comes to the food industry? How
can Stuart Parnell, who technically was

466
00:32:42,380 --> 00:32:48,560
responsible for more deaths than Charles
Manson, not be held responsible, not be

467
00:32:48,560 --> 00:32:51,720
tried in a federal court and not serve
jail time?

468
00:32:53,660 --> 00:32:58,400
Next, will CEO Stuart Parnell get a
legal slap on the wrist?

469
00:32:59,040 --> 00:33:02,140
or serve real time for his poisoned
peanuts.

470
00:33:10,080 --> 00:33:15,380
PCA's salmonella -tainted products cause
the largest food recall in U .S.

471
00:33:15,400 --> 00:33:16,400
history.

472
00:33:16,600 --> 00:33:19,420
There's a breathtaking financial
fallout.

473
00:33:20,720 --> 00:33:24,440
The loss estimates grow to a whopping $1
billion.

474
00:33:26,990 --> 00:33:32,890
In the aftermath, PCA CEO Stuart Parnell
is at the center of a firestorm of

475
00:33:32,890 --> 00:33:33,890
civil cases.

476
00:33:34,230 --> 00:33:38,070
But he isn't facing criminal charges
yet.

477
00:33:39,190 --> 00:33:43,170
In 2009, they announced there was a
criminal investigation.

478
00:33:43,430 --> 00:33:48,310
And for years, literally, that's all we
knew.

479
00:33:49,030 --> 00:33:53,070
Minnesota Senator Al Franken champions
food safety reform.

480
00:33:53,710 --> 00:33:57,330
and advocates for PCA victims like Jeff
Ulmer.

481
00:33:57,530 --> 00:33:59,510
These guys knew what was going on.

482
00:34:00,090 --> 00:34:06,770
Due to their willful and knowing
actions, they killed nine people.

483
00:34:07,290 --> 00:34:14,290
Jeff deserves a lot of credit for not
letting go. He was crucial to

484
00:34:14,290 --> 00:34:17,090
the case in working with the
prosecutors.

485
00:34:19,020 --> 00:34:23,300
Former U .S. Attorney Michael Moore must
maintain a balancing act.

486
00:34:24,179 --> 00:34:27,520
On one hand, this case is about the
victims.

487
00:34:28,820 --> 00:34:30,920
You had folks who lost parents.

488
00:34:31,199 --> 00:34:34,540
You had people who lost family members
they loved.

489
00:34:34,800 --> 00:34:39,040
You had folks who had children that were
sickened because of the outbreak that

490
00:34:39,040 --> 00:34:40,800
we thought about on a daily basis.

491
00:34:41,639 --> 00:34:46,560
On the other hand, the prosecution
requires cold, hard facts.

492
00:34:48,040 --> 00:34:52,340
The judge is not going to let you talk
about your mother suffering and dying

493
00:34:52,340 --> 00:34:56,940
because of tainted peanut product in a
case that deals with whether or not

494
00:34:56,940 --> 00:34:59,340
somebody committed fraud by mail or
wire.

495
00:35:00,560 --> 00:35:04,640
Meanwhile, the PCA outbreak goads
Congress into action.

496
00:35:06,200 --> 00:35:12,980
On January 4, 2011, President Barack
Obama signs the Food Safety

497
00:35:12,980 --> 00:35:14,580
Act into law.

498
00:35:15,340 --> 00:35:21,240
It's predicated on best practices that
can be scientifically proven and that we

499
00:35:21,240 --> 00:35:24,640
step up the inspections and have better
flow and transparency and more

500
00:35:24,640 --> 00:35:28,680
information available to the inspectors
because all of those things played a

501
00:35:28,680 --> 00:35:30,740
role in what went wrong with PCA.

502
00:35:30,960 --> 00:35:35,400
It's the most sweeping set of food
reforms in seven decades.

503
00:35:37,310 --> 00:35:40,590
You've gotten a lot bigger since the
last time I saw you. How you been?

504
00:35:40,850 --> 00:35:45,110
Good. Good to see you. You hungry? I'm
still happy.

505
00:35:49,170 --> 00:35:55,710
Congressman Greg Walden keeps PCA's
crime -taped peanut products in his

506
00:35:55,710 --> 00:35:56,850
as a reminder.

507
00:35:57,590 --> 00:36:01,350
You know, you think about somebody
willing to take that risk. One people's

508
00:36:01,350 --> 00:36:02,350
are literally on the ballot.

509
00:36:02,710 --> 00:36:06,350
It's truly a thick mind that's doing it.
It's our job.

510
00:36:06,840 --> 00:36:10,320
is to be that voice for people who feel
they have no voice.

511
00:36:10,540 --> 00:36:14,640
This was clearly a bipartisan piece of
work that we did, and we need to.

512
00:36:15,180 --> 00:36:21,320
When American Greed returns, changing
the law is a good start, but Parnell's

513
00:36:21,320 --> 00:36:25,560
victims want to make sure he sees the
inside of a jail cell.

514
00:36:26,160 --> 00:36:33,100
This was a message, a clear message,
that you can't just pay a fine and

515
00:36:33,100 --> 00:36:34,100
walk away.

516
00:36:46,000 --> 00:36:51,600
Four years after the PCA Salmonella
outbreak, Prosecutor Michael Moore and

517
00:36:51,600 --> 00:36:55,700
team meticulously combed through three
million pieces of evidence.

518
00:36:56,340 --> 00:37:00,280
These cases are complex. They take a lot
of time. They take a lot of resources.

519
00:37:00,700 --> 00:37:04,040
At the same time, the cases are such a
magnitude that you want to make sure

520
00:37:04,040 --> 00:37:05,160
it gets the attention it deserves.

521
00:37:05,600 --> 00:37:09,380
Moore must tie it all back to one big
theme.

522
00:37:10,220 --> 00:37:11,620
People have lost their lives.

523
00:37:12,140 --> 00:37:15,620
And, you know, children have suffered a
great deal through illness. And it just

524
00:37:15,620 --> 00:37:19,700
reminds you that the case is not just
about Mr. Parnell, but this case is

525
00:37:19,700 --> 00:37:20,700
people.

526
00:37:20,960 --> 00:37:27,680
In February 2013, a grand jury issues a
76 -count indictment against

527
00:37:27,680 --> 00:37:32,160
Stuart Parnell, Michael Parnell, and
three of their plant managers.

528
00:37:33,660 --> 00:37:36,320
The charges don't include murder.

529
00:37:37,560 --> 00:37:39,780
People understand lying, cheating, and
stealing.

530
00:37:40,440 --> 00:37:42,240
And that's what this case ultimately was
about.

531
00:37:42,460 --> 00:37:45,540
And we knew we could get justice for the
victims in the same way, even though we

532
00:37:45,540 --> 00:37:52,080
were calling the case a wire fraud and
mail fraud case, conspiracy case, as

533
00:37:52,080 --> 00:37:55,900
opposed to moving forward on some type
of manslaughter. But there's just no

534
00:37:55,900 --> 00:37:58,100
reason to put family members through
that.

535
00:37:58,440 --> 00:38:03,280
Darren Detweiler writes academic
articles about the case and lands an

536
00:38:03,280 --> 00:38:04,600
with Stuart Parnell.

537
00:38:05,190 --> 00:38:10,010
And he literally ends the conversation
with, you know, we should get together

538
00:38:10,010 --> 00:38:14,190
and maybe have a burger and a beer or
something after this all blows over.

539
00:38:14,990 --> 00:38:17,110
But it's not going to blow over.

540
00:38:18,130 --> 00:38:24,450
In the summer of 2014, Parnell's
attorneys claim he had no idea what his

541
00:38:24,450 --> 00:38:30,510
employees were up to and that attention
deficit disorder causes him to make

542
00:38:30,510 --> 00:38:31,510
terrible decisions.

543
00:38:32,710 --> 00:38:34,690
The emails told a totally different
story.

544
00:38:35,080 --> 00:38:36,900
He knew exactly what was going on.

545
00:38:37,140 --> 00:38:40,720
And what happened in that plant was
happening at his control and his

546
00:38:40,980 --> 00:38:46,760
On September 19, 2014, the verdict comes
down for Stuart Parnell.

547
00:38:47,440 --> 00:38:52,420
Guilty on 71 counts of conspiracy,
fraud, and misbranded food.

548
00:38:53,140 --> 00:38:58,320
Jeff Allmer, the Hurleys, and other
victims are all back in Albany, Georgia

549
00:38:58,320 --> 00:38:59,940
the sentencing a year later.

550
00:39:00,700 --> 00:39:03,260
I sat there in the courtroom that
morning.

551
00:39:04,880 --> 00:39:09,400
Not knowing what the outcome was going
to be. Is it going to be a slap on the

552
00:39:09,400 --> 00:39:10,400
hand three months?

553
00:39:10,440 --> 00:39:11,720
Is it going to be life in prison?

554
00:39:12,980 --> 00:39:16,700
One by one, PCA victims share impact
statements.

555
00:39:17,160 --> 00:39:20,260
As they leave the stand, they walk past
Stewart's family.

556
00:39:20,980 --> 00:39:26,120
And according to Detweiler, they face an
appalling parting shot from a Parnell

557
00:39:26,120 --> 00:39:27,120
family member.

558
00:39:27,660 --> 00:39:30,680
You could not miss it. She was flipping
them the bird.

559
00:39:31,160 --> 00:39:32,700
And the federal marshal...

560
00:39:33,150 --> 00:39:37,630
basically takes a few steps over,
reaches over, and grabs this woman and

561
00:39:37,630 --> 00:39:41,330
basically pulls her from her seat and
hauls her out towards the back of the

562
00:39:41,330 --> 00:39:46,230
courtroom. And it was Beth Falwell, the
sister of Stuart Parnell.

563
00:39:48,350 --> 00:39:51,550
Parnell's underlings cooperate without
the drama.

564
00:39:52,290 --> 00:39:57,110
Three former plant managers plead guilty
to obstruction of justice and fraud.

565
00:39:57,430 --> 00:40:01,570
They are sentenced to three, five, and
six years in prison.

566
00:40:02,410 --> 00:40:05,430
Michael Parnell is sentenced to 20
years.

567
00:40:06,190 --> 00:40:10,730
Stuart Parnell doesn't realize he's
about to make history as a defendant in

568
00:40:10,730 --> 00:40:11,870
food poisoning case.

569
00:40:12,590 --> 00:40:16,010
His sentence, 28 years.

570
00:40:17,810 --> 00:40:19,710
This was a landmark case.

571
00:40:19,970 --> 00:40:24,810
You know, you go from three months as
the maximum potential jail time to 28

572
00:40:24,810 --> 00:40:29,670
years. When those numbers were read out
by the judge that evening, there was a

573
00:40:29,670 --> 00:40:30,670
gasp.

574
00:40:31,540 --> 00:40:36,740
Stuart Parnell could spend the rest of
his life behind bars, but he's still

575
00:40:36,740 --> 00:40:37,740
alive.

576
00:40:38,920 --> 00:40:42,180
The sentence can't bring Jeff Ormer's
mother back.

577
00:40:42,640 --> 00:40:48,460
I heard an ad on the radio for Mother's
Day, and it came to my mind that I

578
00:40:48,460 --> 00:40:54,260
should send a Mother's Day card, and I'm
going to send it to the person that put

579
00:40:54,260 --> 00:40:55,260
her in the ground.

580
00:40:55,560 --> 00:40:57,440
And I simply wrote in there,

581
00:40:58,250 --> 00:41:01,610
I didn't know where to send it this year
since my mother's no longer alive, so

582
00:41:01,610 --> 00:41:04,930
I'm sending it to you, the person
responsible for where she is today.

583
00:41:05,170 --> 00:41:06,310
And then I signed it.

584
00:41:07,710 --> 00:41:08,890
I know what you did.

585
00:41:09,130 --> 00:41:10,310
You know what you did.

586
00:41:10,750 --> 00:41:12,270
I'm not walking away from this.

587
00:41:12,690 --> 00:41:18,290
While Parnell appeals his case,
advocates say the Food Safety

588
00:41:18,290 --> 00:41:23,190
requires more funding to give it the
teeth legislators intended.

589
00:41:23,890 --> 00:41:24,890
Red tape.

590
00:41:25,330 --> 00:41:26,330
Mindless regulation.

591
00:41:27,640 --> 00:41:29,960
Hurting our economy, killing jobs.

592
00:41:30,880 --> 00:41:37,420
Well, yeah, there's another side to
that. And the other side of that is that

593
00:41:37,420 --> 00:41:43,620
it prevents stuff from happening that
actually hurts our economy, that

594
00:41:43,620 --> 00:41:44,620
hurts the lives.

595
00:41:45,180 --> 00:41:46,740
We didn't lose Jake.

596
00:41:47,760 --> 00:41:54,400
And that made me realize how lucky we
are and how I can...

597
00:41:55,600 --> 00:41:57,020
Talk to members of Congress.

598
00:41:58,900 --> 00:42:01,760
I'm happy. I'm healthy. I have a happy
and healthy son.

599
00:42:02,520 --> 00:42:07,540
From the person that's in prison and the
president in the White House, everybody

600
00:42:07,540 --> 00:42:14,380
eats. Every food producer should at
least do their part of what they know to

601
00:42:14,380 --> 00:42:21,340
right, to give us good, safe food. And
Stuart Parnell didn't do any

602
00:42:21,340 --> 00:42:23,200
of that. I love you, buddy. I love you,
too.

603
00:42:24,140 --> 00:42:28,480
Next. When money is no object, the limit
of the credit card was the only thing

604
00:42:28,480 --> 00:42:30,780
that stopped them. The object was to get
more.

605
00:42:31,200 --> 00:42:34,960
It was just boom, boom, boom, boom,
boom. Five rounds from the last 45.

606
00:42:35,260 --> 00:42:36,260
Enter the dark side.

607
00:42:36,360 --> 00:42:38,600
American Greed next on CNBC.

