(The Center Square) – Arkansas Gov. Sarah Huckabee Sanders said Wednesday that two businesses may have ties to China, violating the state’s foreign-ownership law.
Agriculture Commissioner Wes Ward discovered that Risever Machinery LLC in Craighead County and Jones Digital LLC near the City of DeWitt could have ties to China, according to Sanders.
Act 636, signed into law this August, prohibits foreign-controlled businesses from acquiring private or public land in Arkansas.
Jones Digital is a crypto mining organization located near Dewitt., Ward said in a letter to Attorney General Tim Griffin.
“A review of Jones Digital’s ownership indicates that the entity may have significant ties to China,” Ward said. “Further, it is believed that the individuals or entities involved in the ownership of Jones Digital LLC may also have significant ownership interest in other digital asset or crypto-mining operations in other parts of the state under different names.”
An attorney for Jones Digital told The Center Square the company was surprised by the announcement.
“Jones Digital chose to do business in Arkansas because of its reputation as a state that supported small businesses like Jones Digital,” said Alexander T. Jones, the attorney representing the company. Jones Digital will continue to stand up for its right to do business in Arkansas and defend itself against inaccurate information and misrepresentations now and in the future.”
Ward said his review of Risever Machinery indicates the company may have “significant ties” to China.
A representative from Risever Machinery did not return a message from The Center Square seeking comment.
Ward sent the information to Griffin for an investigation.
“China is a hostile foreign adversary and under my administration, we will follow the law and not allow companies controlled by the Chinese Communist Party to buy up and exploit Arkansas land,” Sanders said.
In October, the state ordered Syngenta to divest itself from 160 acres of land in Craighead County. The company was also fined $280,000, which was paid, according to Griffin’s office.