Three of the largest U.S. egg producers will pay $3.3 million and donate 53 million eggs to settle charges that they artificially inflated prices, following a year-long bipartisan investigation led by the U.S. Justice Department and 17 state attorneys general. The settlement delivers 4.9 million eggs to food banks and organizations serving New Yorkers, New York Attorney General Letitia James announced on June 30, 2026.
Cal-Maine Foods, Versova, and Hickman’s Egg Ranch were found to have ‘secretly communicated’ with each other to inflate the daily egg price index between June 2022 and March 2025, according to the Department of Justice. The investigation revealed that executives used ‘spoofing-like tactics’ in which traders placed buy or sell orders to move prices, then cancelled them before they were filled.
‘These egg producers manipulated the market to squeeze even more profit out of consumers and businesses,’ James said in a statement, as reported by the New York Post. ‘By shutting this scheme down and delivering millions of eggs to those in need, we’re sending a clear message that companies will not get away with illegal price hikes in New York.’
The settlement has particular resonance for New York City, where egg prices hit consumers and small businesses especially hard. In January 2025, the average price of a dozen eggs spiked to nearly $9, up 70% from the year before, forcing restaurant owners to struggle to stay afloat. By February 2025, NYC bodegas began selling individual ‘loosie’ eggs, similar to single cigarettes, as bird flu shortages drove prices out of control.
A December 2022 email obtained by prosecutors caught Hickman’s CEO emailing Versova and Cal-Maine executives to urge them to submit ‘strong bids, early and often’ to boost the cost of the grocery staple, all while Americans were struggling to put food on the table. The scheme was carried out during a period when eggs were scarce due to a historic bird flu epidemic. In late 2022, Midwest large egg prices skyrocketed to $5.36 per dozen.
The New York Attorney General’s office played a leading role in the bipartisan investigation, working alongside attorneys general from Arizona, California, Colorado, Connecticut, Florida, Hawaii, Iowa, Maryland, Minnesota, North Carolina, Ohio, Pennsylvania, Texas, Utah, and Vermont.
The proposed settlements, which must be approved by a federal judge, will force the three companies to end price-manipulation tactics, adopt compliance measures, and fully cooperate with state oversight. Mississippi-based Cal-Maine Foods, the largest U.S. egg company, denied all wrongdoing, saying in a statement that it ‘continues to believe that such claims are baseless and that its conduct was lawful.’ Versova also denied wrongdoing, while Hickman’s, now owned by JBS and Brazilian egg supplier Mantiqueira, claimed the scandal occurred before its acquisition in late 2025.
For New York’s restaurant industry and food banks, the settlement provides both restitution and a deterrent against future price manipulation. The 4.9 million eggs designated for New York organizations come at a time when food insecurity remains a pressing issue across the five boroughs.
