McBee Farms Defaults on Rabo Ag Loan

LINCOLN, Neb. (DTN) -- Ag reality television star Steve A. McBee's Gallatin, Missouri, farm has defaulted on a loan with a major agricultural financier just ahead of McBee's scheduled Oct. 16 sentencing in federal court on crop insurance fraud.

McBee, the owner of McBee Farming Operations and the star of the reality television series "The McBee Dynasty: Real American Cowboys," runs the northwest Missouri farm along with his sons Steve Jr., Brayden, Cole and Jesse.

McBee and McBee Family Farms have defaulted on a $1.3 million loan with Rabo Agrifinance LLC, according to a judgment filed in the Circuit Court of Daviess County in the 43rd Judicial Circuit in Missouri on Aug. 13, 2025.

Rabo first entered the judgment of default in Iowa District Court in Black Hawk County on June 25, 2025.

"The judgment was entered against the defendants McBee Family Farms and Steven Arthur McBee, in the principal sum of $1,171,000.00, and accrued interest through June 23, 2025, totaled $133,995.98, and the costs of the original action were taxed at $0.00. Interest continues to accrue at a per-diem rate of $683.08 from and after Judgement Date, plus all future costs and expenses of collection," according to the notice of judgment filed in Missouri.

McBee pleaded guilty to crop insurance fraud, a Class B felony, at the end of 2024 and faces a possible sentence of up to 30 years in prison without the opportunity for parole.

McBee's sentencing is now scheduled for Oct. 16, 2025, in the U.S. District Court for the Western District of Missouri.

Without explanation, the court on Aug. 21 moved the sentencing from Sept. 9 to Oct. 16. In a brief order handed down by the court, both sides are required to submit sentencing memorandums by Oct. 6.

In addition, U.S. attorneys filed a notice and bill of particulars for the forfeiture of property with the court on Aug. 29, requiring McBee to forfeit three wrist watches. According to DTN's research, the watches may be valued at anywhere from $23,700 to more than $1 million.

The property includes a Tag Heuer Formula 1 watch, a Tag Heuer Grand Carrera watch and a Rolex Daytona watch.

The federal government is seeking the forfeiture of all property derived from proceeds traceable to the crop insurance fraud committed by McBee, who reached a plea agreement in the case.

It was revealed during the second season of "The McBee Dynasty" that the farm was carrying debt of about $70 million.

McBee admitted he engaged in "fraudulent activity" from 2018 to 2020 that caused an economic loss to USDA. McBee is required to pay about $3.2 million to the federal government. The total loss to USDA is about $4 million, though the federal government has disputed the total loss amount.

Read more on DTN:

"McBee Fraud Sentencing Moved to Oct.," https://www.dtnpf.com/…

"McBee Sentence Hinges on Loss Amounts," https://www.dtnpf.com/…

Todd Neeley can be reached at todd.neeley@dtn.com

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