17536. Action to enjoin and restrain the interstate shipment of adulterated dried eggs. U. S. v. Howard Green, et al. (Monark Food Products Co.). Permanent injunction granted. (Inc. No. 58.) COMPLAINT FILED: June 16, 1943, District of Kansas, against Howard Green, Selma Green, I. Irving Feld, Josephine Selma Feld, Ira Rosenblum, Blanche Rosenblum, Marjorie Ruth Rosenblum, Harry A. Rosenblum, Elaine M. Strauss, New Blondell Peiser, Ernest Peiser, and Suzanne M. Feld, trading as the Monark Food Products Co., a partnership, Hutchinson, Kans. MATURE OF COMPLAINT : The complaint alleged in substance that prior to Janu- ary 2, 1943, the defendants had entered into a contract to sell and deliver to the Federal Surplus Commodities Corp. a large quantity of dried whole eggs, and in compliance had tendered delivery of the product; that of the eggs so tendered for delivery, 29% barrels were determined to consist in whole or in part of a filthy, putrid, and decomposed substance, and to have been unfit for food, and therefore were adulterated and were rejected by the Federal Surplus Commodities Corp.; and that thereafter the defendants shipped 28 barrels of the rejected eggs in interstate commerce to various consignees. The complaint alleged further that on or about February 13, 1943, the defendants entered into a similar contract and tendered delivery of the eggs called for under the contract; and that approximately 69 90-pound boxes of dried eggs were rejected for the same reason as those rejected in the earlier delivery. The complaint prayed that the defendants be enjoined from introducing and delivering for introduction into interstate commerce dried whole eggs which were adulterated within the meaning of the Federal Food, Drug, and Cosmetic Act, and more particularly the 69 boxes referred to above. DISPOSITION : On June 16,1943, the court issued a temporary restraining order, and on July 6, 1943, granted a temporary injunction after hearing. Subse- quent thereto the court made the following findings of fact and conclusions of law: FINDINGS OF FACT "1. Defendants are engaged in manufacturing and processing dried eggs for shipment in interstate commerce. "2. They have two plants, located at Hutchinson, Kansas. The first plant was started June, 1942. "3. They processed, and, under contract, sold to the Federal Surplus Com- modity Corporation a considerable quantity of dried eggs made in this plant. This contract was made prior to January 2, 1943. Twenty-nine and three- fourths barrels of eggs processed and offered under this contract were rejected due to low palatability, "4. These eggs were subsequently shipped in interstate commerce to Kansas City, Missouri, Chicago, Illinois, and New York City, New York. "5. Subsequent to the above transaction, defendants opened a second plant in ' the city of Hutchinson, Kansas, where they processed dried eggs. On or about February 13, 1943, they entered into a contract with the Surplus Com- modity Corporation to deliver approximately 60,000 pounds of dried eggs on April 10, 1943. Defendants tendered the 60,000 pounds of dried eggs on April 10, 1943. Defendants tendered the 60,000 pounds of dried eggs under this contract. Of this amount, 69 boxes, each containing ninety pounds, were . found to be sour, and were rejected. "6. This could mean only that these boxes contained decomposed matter which caused fermentation and produced the sour condition which caused their rejection. "7. The 69 boxes rejected under the second contract were produced shortly after the second plant was established, and it is contended by the defendants, and with some degree of probability, that the defect in these boxes could have been brought about because of defects in the equipment. "8. It is not claimed, nor do I find, that defendants were motivated by any fraudulent purpose in seeking to introduce in commerce dried eggs unfit for human consumption. CONCLUSIONS OF LAW "It is my conclusion that the government is entitled to an injunction enjoin- ing the defendants from introducing the sixty-nine boxes of dried eggs above referred to, which have been found to be sour and which are therefore unfit for human consumption, and that the government is entitled to an injunction enjoining the defendants from introducing sour dried eggs into commerce," On October 25, 1943, the case having come for final disposition and the parties having stipulated that the facts incorporated by the court in findings of fact Nos. 1 to 5, inclusive, and Nos. 7 and 8 were the facts in the case, the court ordered that the defendants be enjoined from introducing into inter- state commerce the 69 boxes of dried eggs which had been found to be sour, and that the defendants be further enjoined from introducing into interstate commerce any sour dried eggs. FISH AND SHELLFISH