Texas cattle company ordered to pay $103M in Ponzi scheme

Agridime LLC, a Fort Worth-based cattle company accused of operating a Ponzi scheme, has been ordered to pay nearly $103 million in restitution following a final judgment by the U.S. District Court for the Northern District of Texas. The Commodity Futures Trading Commission, which brought the case, has permanently banned Agridime from registering with the agency or participating in any CFTC-regulated markets.

The ruling stems from a broader investigation by the CFTC and the U.S. Securities and Exchange Commission, which alleged in 2023 that Agridime raised $191 million from over 2,100 investors across 15 states. The SEC characterized the business as a Ponzi scheme in which funds from new investors were used to pay earlier participants, rather than being used for cattle purchases as advertised.

Court documents suggest that co-founders Joshua Link and Jed Wood personally profited from the operation. Link has been ordered to pay over $815,000 and Wood over $1.4 million. Agridime had promised investors annual returns between 15 percent and 30 percent, claiming funds would be used to buy and raise cattle.

A court-appointed receiver, Steve Fahey, has been overseeing Agridime’s assets since late 2023. One major initiative involved attempting to sell Agridime’s assets — including its operations under the rebranded name “American Grazed Beef” — to a North Dakota investment group, Sheer Marketing, for $15.7 million. That deal included a five-year profit-sharing provision meant to repay defrauded investors.

However, that sale has now fallen through. Court records filed May 21, 2025, show that Sheer Marketing failed to close the transaction by the May 14 deadline, despite multiple extensions and assurances that funding was forthcoming. The buyer had previously contributed $150,000 in earnest money to help keep operations afloat, but ultimately could not secure full financing.

Fahey has notified the court that the buyer is in breach of the purchase agreement and that legal action is being considered. The receivership is now developing a new plan to wind down American Grazed Beef operations and liquidate remaining assets, including real estate, cattle, meat inventory, and equipment.

In August 2024, the court officially declared Agridime a Ponzi scheme dating back to October 2021. The designation gives the receivership expanded legal authority to pursue clawbacks from individuals who profited off the scheme, including sales commissions and overpayments to investors.

In January of last year, Agridime’s homepage began being updated with information regarding charges brought against the company. 

Despite the challenges, Fahey’s team continues to contact victims, confirm individual losses, and prepare legal strategies to recover additional funds. The receivership also cautioned investors to be wary of fraudulent emails seeking bank details, emphasizing that any legitimate communication will never request sensitive information through email.