Recent questions regarding the financial state of the Italian-based Parmalat Corporation have caused some concern among Pennsylvania dairy farmers.

Checks from Parmalat USA, a subsidiary of the overseas milk company, were due in the hands of about 600 Pennsylvanian farmers early this week, but only some of them have received their payments.

Wayne County resident and farmer Dave Jonas, has been waiting since Tuesday for a check from the company and did not allow his next shipment of milk to leave for Parmalat.

"If we can find a market, we won't be staying with [Parmalat USA]. They keep saying everything is OK, but obviously it's not," he said. "They tell us that it's a separate entity, but it must have an effect over here."

Pennsylvania Milk Marketing Board staff attorney John Howard said under normal circumstances delay of payment by a few days is no cause for concern, and there is no reason to suspect that Parmalat won't pay as promised.

"If it gets to the point where tomorrow or the next day it looks like the money won't be there, we will send a letter to all the farmers who sell to Parmalat," Milk Marketing Board chief counsel Doug Eberly said.

Penn State associate agricultural economics professor Kenneth Bailey said the current situation would pose a concern for him if he were a dairy farmer, but business can't stop because of the bankruptcy charges.

"We want to get paid now for the milk they (Parmalat) have already taken and move on. There's enough aggravation on a farm," Jonas said.

Joel Rotz, Pennsylvania Farm Bureau dairy specialist and director of national legislative programs, said it may be too early to state with certainty the seriousness of the situation.

"It's just a little too soon to tell, but there are good reasons for farmers being cautious when selling their milk [to Parmalat]," Rotz said.

Pennsylvania provides insurance in case farmers are not paid for the sale of their products.

Last month, the Italian corporation filed for bankruptcy protection after four billion euros were discovered missing. The financial crisis has led to the arrest of 11 people suspected of market rigging, in addition to other crimes.

Suppliers to the American subsidiary have asked to be paid up front, which may have caused a money shortage responsible for delaying the payment of farmers and the need for additional money to be wired through Germany. The payments may have been delayed further by a German banking holiday, but the Milk Marketing Bureau could not confirm that.

Penn State economics senior lecturer Russell Chuderewicz said relaxed economic regulations and a still-developing financial market in Europe might be responsible for allowing the financial crisis to continue for so long.

"Books are more transparent and audits are more frequent [in the United States]," Chuderewicz said. "But that's not to say [fraud] doesn't happen here."

Possible effects on the U.S. economy remain to be seen, but are unlikely to be serious, Chuderewicz said.

Wegmans spokeswoman Jo Natale said the chain has been told by its supplier to keep Parmalat products on the shelves and overseas activities will not affect the corporation's U.S. operations.