This is how it worked. All the farmers friends would show up at the auction. Any strangers would be ushered to a barn where they were shown a hang man's noose dangling from the the hay loft.
Anyone not in the association who bid that day might get to try on the necktie. Or, they could leave now and avoid trouble.
Once the auction begin, association members would redeem the farmer's good for pennies on the dollar and the debt was duly discharged at a loss.
The farmer would earn everything back over the next few weeks by renting himself out as a farmhand to the association. Such duties naturally included organizing other farm auctions.
ConAgra, Monsanto, etc. need not apply.