WASHINGTON D.C. – The U.S. Department of Agriculture (USDA) has imposed sanctions on three produce businesses in California and Texas for failure to pay reparation awards issued under the Perishable Agricultural Commodities Act (PACA).

According to a USDA press release, the following businesses and individuals are currently restricted from operating in the produce industry:

• Access Fresh LLC, operating out of Carmel, Calif., for failing to pay a $41,238 award in favor of an Idaho seller. As of the issuance date of the reparation order, Cabbage Head LLC, Richard M. Downey, and Daniel J. Lord were listed as members of the business.
• Cali Prime Produce LLC, operating out of Belmont, California, for failing to pay a $5,641 award in favor of a Minnesota seller. As of the issuance date of the reparation order, Fouad Saeed Abdulkadir was listed as a member of the business.
• Monarch Fresh Produce LLC, operating out of Pharr, Texas, for failing to pay a $6,574 award in favor of an Illinois seller. As of the issuance date of the reparation order, Jason N. Stros was listed as a member of the business.

The USDA is required to suspend the license or impose sanctions on an unlicensed business that fails to pay PACA reparations awarded against it as well as impose restrictions against those principals determined to be responsibly connected to the business when the order is issued. 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 has resolved approximately 3,700 PACA claims involving more than $66 million. Its experts have 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.

Agricultural Marketing Service