ADM Faces US Justice Department Probe Over Ethanol Trading and Accounting Irregularities

The US Justice Department is investigating Archer-Daniels-Midland's (ADM) ethanol trading operation as part of a broader probe into the company's accounting practices, focusing on whether ADM improperly accounted for hedges in its ethanol trading unit. This additional scrutiny comes after ADM confirmed a separate investigation into its Nutrition unit and disclosed that it had overstated the Nutrition unit's operating profit in its financial statements. ADM shares have dropped about 15% since the firm disclosed in late January that it had suspended its chief financial officer and was delaying financial results amid an internal probe.