A northeastern Iowa cattle producer is serving over 15 years in prison after pleading guilty to livestock theft, wire fraud, and making false statements during bankruptcy proceedings. Michael Wayne Butikofer, 54, of Monona, Iowa, was convicted in October 2024 and forced to pay more than $5.7 million in restitution for a multifaceted conspiracy involving investor fraud, misuse of federal epidemic funding, and maltreatment of foreign agricultural workers.
Background:
Butikofer ran Fawn Hollow, a custom cattle-feeding operation in Clayton County that was not registered under the USDA’s Packers and Stockyards Act. Between 2020 and 2022, he persuaded other investors to sell their livestock in his name and then pocketed the earnings, earning more than $2.5 million falsely. He deceived a Wisconsin slaughterhouse by claiming ownership of livestock he did not possess, evading regulatory supervision designed to safeguard shareholders.
In addition to livestock fraud, Butikofer submitted fraudulent applications for over $1.2 million in COVID-19 assistance through the USDA’s Coronavirus Food Assistance Program (CFAP) and obtained a $1.5 million Economic Injury Disaster Loan from the Small Business Administration under false pretenses.
His illegal behavior included labor breaches. Butikofer exploited South African H-2A workers, subjecting them to unsafe living conditions, threats, and abuse. In one example, a worker and his family were forced to live in an unheated camper with no running water or power. In 2023 and 2024, federal agents rescued several workers, and a court judgment issued in 2020 paid $247,000 to three victims of labor trafficking.
2025 Update:
The court-ordered restitution process is ongoing. In June 2025, federal officials approved partial distributions to victims, including $1.4 million to Wendle Cattle Company and additional payments to the United States government and Peoples State Bank. Butikofer, who is still in federal jail, is barred from engaging in any future overseas labor programs and has a three-year supervised release order following his prison sentence.
The case is one of the most major agricultural fraud prosecutions in recent years, emphasizing the significance of regulatory compliance, labor protections, and accountability for abuses of government relief programs.
