USDA restricts PACA violators in California, New York and Texas
The U.S. Department of Agriculture has imposed sanctions on three 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:
- Maya Coast Produce LLC, operating out of McAllen, TX, for failing to pay a $61,460 award in favor of a Texas seller. As of the issuance date of the reparation order, Luis E. Chan Moguel and Rosie Rubio were listed as managers of the business.
- Espinal Export & Import Corp., operating out of Bronx, NY, for failing to pay a $13,312 award in favor of a Texas seller. As of the issuance date of the reparation order, Emmanuel Espinal was listed as the officer, director and major stockholder of the business.
- JJD Produce LLC, operating out of San Diego, for failing to pay a $7,127 award in favor of a Texas seller. As of the issuance date of the reparation order, Jorge A. Beltran Ritz and JB Resources LLC were listed as managers and members 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.