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USDA restricts PACA violators in California, Nevada, Texas and Virginia

The U.S. Department of Agriculture imposed sanctions on five produce businesses for failing to meet contractual obligations to the sellers of produce they purchased and failing to pay reparation awards issued under the Perishable Agricultural Commodities Act. These sanctions include suspending the businesses’ PACA licenses and barring the principal operators of the businesses from engaging in PACA-licensed business or other activities without approval from USDA.

The following businesses and individuals are currently restricted from operating in the produce industry:

  • GoGreen Farms Inc., operating out of Suffolk, VA, for failing to pay a $134,400 award in favor of a North Carolina seller. As of the issuance date of the reparation order, GoGreen Farms and Greenhouses Inc., Paul Cunanan and Breon Clemons were listed as the officers, directors and major shareholders of the business.
  • Pacos Produce LLC, operating out of Dallas for failing to pay a $63,720 award in favor of a Texas seller. As of the issuance date of the reparation order, Jose Gamez was listed as the sole member of the business.
  • Johns Fresh Produce Inc., operating out of Los Angeles, for failing to pay a $19,120 award in favor of a California seller. As of the issuance date of the reparation order, Ammar Jarbouh was listed as the officer, director and major shareholder of the business.
  • Superior Growers LLC, operating out of Las Vegas, for failing to pay a $16,841 award in favor of a Arizona seller. As of the issuance date of the reparation order, Ely Trujillo was listed as the member and manager of the business.
  • Lucky Taro Inc., operating out of Vernon, CA, for failing to pay a $3,819 award in favor of a California seller. As of the issuance date of the reparation order, Lily Chang and Kim Heng Lao were listed as the officers, directors and major shareholders of the business.

The PACA Division, which is in the Fair Trade Practices Program in the Agricultural Marketing Service, regulates fair trading practices of produce businesses that are operating subject to PACA, including buyers, sellers, commission merchants, dealers and brokers within the fruit and vegetable industry.

In the past three years, USDA resolved approximately 3,500 PACA claims involving more than $165 million. PACA staff also assisted more than 6,600 callers with issues valued at approximately $169 million.

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