PACA actions filed against M&M, Arrow Farms
PACA actions filed against M&M, Arrow Farms
The U.S. Department of Agriculture has filed administrative actions under the Perishable Agricultural Commodities Act against M&M Produce Inc. and Arrow Farms of New York Inc.
M&M Produce, operating from Connecticut, allegedly failed to make full payment to 46 produce sellers in the amount of $2.87 million from May 2014 through March 2015.
Arrow Farms, operating in New York, allegedly failed to make payment promptly to six produce sellers in the amount of $266,876 from September 2014 through May 2015.
Both M&M and Arrow Farms will have the opportunity to request a hearing. Should USDA find that the companies committed repeated and flagrant violations, they would be barred from the produce industry for two years. Furthermore, its principals could not be employed by or affiliated with any PACA licensee for one year and then only with the posting of a USDA-approved surety bond.
In the past three years, the USDA resolved approximately 3,700 PACA claims involving more than $66 million. Its experts also assisted more than 7,100 callers with issues valued at approximately $100 million.