King Ranch Of Texas, 67th Largest Certified Claimant, Sues Nine Cuba Companies, Including One In Panama (Havanatur S.A.)
/KING RANCH, INC. v. EMPRESA AGROPECUARIA NUEVITAS et al [EMPRESA AGROPECUARIA NUEVITAS; GRUPO EMPRESARIAL AGRÍCOLA EMPRESA FORESTAL INTEGRAL DE CAMAGUEY; GRUPO EMPRESARIAL AGROFORESTAL; EMPRESA CUBANA EXPORTADORA DE ALIMENTOS Y PRODUCTOS VARIOS; EMPRESA EXTRAHOTELERA PALMARES, S.A.; GRUPO INTERNACIONAL DE TUROPERADORES Y AGENCIAS DE VIAJES HAVANATUR S.A. (HAVANATUR CUBA0; HAVANATUR S.A. (PANAMA); GRUPO EMPRESARIAL VIAJES CUBA] [21-cv-00594 District of Columbia District]
Steptoe & Johnson (plaintiff)
LINK To Libertad Act Title III Lawsuit Filing Statistics
“Houston, Texas-based King Ranch, Inc., [2019 revenues estimated approximately US$250 million] is a privately-held agricultural production and resource management company established in 1853. Headquartered in Texas and owner of the historic 825,000 acre King Ranch, its operations include cattle breeding and production, horses, wildlife management and recreation, and the production of a number of agricultural commodities including cotton, milo, sugar cane, almonds and pistachios and various vegetables. King Ranch operates extensive turfgrass operations and is the majority owner of the largest citrus producer in the United States. The Company operates various retail operations, including the famous King Ranch Saddle Shop, and has branding partnerships with Ford Motor Co., Textron Aviation and most recently with the Fertitta Family for the expansion of the King Ranch Texas Kitchen restaurant concept.”
“After World War II, the ranch’s agricultural business was extended, in part to expand the national and global presence of the Santa Gertrudis breed. Acquisitions came through the purchase of property in Kentucky, Pennsylvania, Mississippi, and West Texas, and through joint ventures and partnerships in Florida. Management developed ranching operations overseas with land purchases in Argentina, Cuba, Brazil, Australia, Venezuela, Spain, and Morocco. The systematic and ambitious expansion of this period – in agriculture, energy, and real estate, together with expanded retail operations – created the platform for the business segments of King Ranch today.”
Excerpts From Complaint
Defendants use and continue to profit from the Confiscated Property by, among other things, operating it as a tourist attraction (called Rancho King) and monetizing its natural resources through the production of charcoal from the marabu that naturally grows on the land.
Defendant Empresa Forestal Integral de Camaguey (“EFIC”) was created by Resolution No. 9 on December 15, 1976 by the then President of the Instituto Nacional de Desarrollo y Aprovechamiento Forestal, which is currently integrated in the Grupo Empresarial Agroforestal controlled by the Cuban Ministry of Agriculture. On information and belief, EFIC is currently harvesting marabu, a woody plant that provides a source of charcoal, in an area of over 500,000 acres in the province of Camaguey including the Confiscated Property. The marabu is used to produce marabu charcoal for export.
Defendant Grupo Empresarial Agroforestal (“GAF”) was created by the Cuban Ministry of Agriculture with the aim of unifying under a single entity all of the productive activities of the mountainous areas and of forestry and beekeeping in Cuba. It was formed by the merger of the assets of the Cuba-Café Group, the For Cuba Group, and the National Apiculture Company, which occurred in July 2000, integrating certain Cuban industries including forestry, coffee, cacao, beekeeping and henequén as well as the production of various crops and livestock. GAF is also involved in the production of marabu charcoal.
HAVANATUR PANAMA is totally controlled and dominated by the government of Cuba, over and above the normal supervisory control exercised by a parent over a subsidiary. Also, HAVANATUR PANAMA is properly treated as an agent of the government of Cuba with respect to the conduct at issue here.
46. Prior to 1960, King Ranch maintained a cattle ranch in Cuba, operated through a Cuban enterprise known as Companía Ganadera Becerra, S.A. (the “Ranch”). King Ranch had a 50 percent ownership interest in the Ranch and also owned certain cattle located on land owned by the Ranch.
47. On November 1, 1960, King Ranch’s property rights in the Ranch and in its cattle were expropriated by the Cuban Government in violation of international law. Specifically, the Cuban Government nationalized the Ranch and all associated assets, including cattle and other livestock. As a result, King Ranch was deprived of its interest therein and was forced to abandon further operations in Cuba.
The FCSC certified that King Ranch suffered a loss of $3,216,084.97 as a result of the Cuban government’s expropriation of the Confiscated Property. The FCSC certified the claim in this amount and further awarded interest on this amount at the rate of 6 percent per annum from the date of loss to the date of settlement. [CU-1507/5751]
