USDA Cites Chieftain Harvesting Inc. in California for PACA Violations
WASHINGTON, DC – The U.S. Department of Agriculture (USDA) has cited Chieftain Harvesting Inc., Salinas, CA, for failure to pay for produce.
The company failed to pay $1,465,307 to four sellers for 510 lots of produce, according to a recent USDA press release. This is in violation of the Perishable Agricultural Commodities Act (PACA). As a result of these actions, Chieftain Harvesting Inc. cannot operate in the produce industry until May 23, 2018, at which time it may reapply for a PACA license.
The company’s principals, Joseph G. Esquivel and David G. Mills, may not be employed by or affiliated with any PACA licensee until May 23, 2017, and then only with the posting of a USDA-approved surety bond.
USDA is required to publish the finding that a business has committed willful, repeated, and flagrant violations of PACA as well as impose restrictions against those principals determined to be responsibly connected to the business during the violation period. Those individuals, including sole proprietors, partners, members, managers, officers, directors, or major stockholders may not be employed by or affiliated with any PACA licensee without USDA-approval.
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. These are just two examples of how the USDA continues to support the fruit and vegetable industry.
