The recent Cyclospora outbreak tied to lettuce sourced from a Taylor Farms facility in Mexico may merely be the beginning of troubles for the California-based food producer, as controversies continue to engulf the privately held company.
Taylor Farms is currently navigating criticism regarding its food safety measures after federal health authorities reported in July that iceberg lettuce from its Guanajuato production facility was responsible for a significant Cyclospora parasite outbreak. This incident has resulted in severe gastrointestinal illnesses affecting thousands across the United States.
Cyclospora has been linked to around 300 hospitalizations and is believed to be connected to two fatalities in Michigan.
The situation for Taylor Farms deteriorated this week as the company voluntarily recalled several prepared products containing jalapeno peppers, such as salsa, guacamole, and dips, distributed across 26 states. Additionally, there is an ongoing federal lawsuit against a former high-ranking employee, alleging he misappropriated at least $32 million from the company over multiple years to indulge in his extravagant lifestyle, which reportedly included “gambling activities.”
Allegations of Executive Misconduct
In June, Taylor Farms initiated legal action against Brian Thure, the former president of Taylor Farms Tennessee. This regional facility is primarily focused on packaged salad kits, prepared foods, fresh-cut fruits and vegetables, and supplying store brands for retailers such as Trader Joe’s, Walmart, Kroger, and Target.
According to Taylor Farms, an audit conducted in early 2025 uncovered financial irregularities and dubious reimbursement practices associated with a major contract involving MTS Building and Electrical. The investigation revealed that Thure, along with his wife Julie Thure and MTS Principal James McPherson, allegedly colluded to embezzle over $32 million from the company over a period of years.
As president, Thure was responsible for overseeing the facility’s operations, personnel, accounting, vendors, and other company controls. Taylor Farms accuses him of manipulating his trusted position to misappropriate corporate funds for personal use.
While MTS initially completed legitimate construction work worth approximately $400,000 at the Tennessee plant, Taylor Farms claims that McPherson later colluded with the Thures to facilitate financial misconduct in exchange for kickbacks. In the federal lawsuit filed in Tennessee’s Middle District Court, Taylor Farms alleges that Thure confessed to the embezzlement during a recorded phone call with corporate officials.
“Mr. Thure expressed his inclination towards extravagant personal expenditures on activities such as gambling and women, none of which had any legitimate business relevance,” the complaint states.
The lawsuit does not specify the types of gambling Thure allegedly engaged in.
Admission of Wrongdoing
Thure resigned from Taylor Foods in March and subsequently reached out to Taylor Farms’ Founder and CEO Bruce Taylor a month later to confess and apologize for his actions. The Thures and McPherson are also reported to be involved in an ongoing federal criminal investigation, although a formal indictment has yet to be disclosed.
A case management conference for the civil lawsuit is set for September 15, 2026. Taylor Farms aims to recover its appropriated funds and to secure all possible legal and equitable remedies.