Joseph Aiello & Sons Inc. in New York Cited for Operating Without a Valid and Effective PACA License and the Company Satisfies Terms of Consent Decree
WASHINGTON, DC – The U.S. Attorney for the Northern District of New York, at the request of the Secretary of Agriculture, filed an action for civil penalties and injunctive relief under the Perishable Agriculture Commodities Act (PACA) against Joseph Aiello & Sons Inc. on May 22, 2017, in the U.S. District Court for the Northern District of New York, alleging the company had operated subject to the PACA without a valid and effective license during the period of June 2013 to September 2014.
According to a recent USDA press release, the parties entered into a consent decree on May 30, 2017, wherein the company admitted that it violated the PACA as alleged in the complaint. The consent decree permanently enjoined the company from operating subject to the PACA without a valid and effective license and the company agreed to pay a $5,000 civil penalty.
Joseph Aiello & Sons Inc. paid the civil penalty and applied for a new PACA license, which was issued on August 8, 2017. The company is now operating with a valid and effective PACA license.
The PACA Division, which is part of USDA’s Agricultural Marketing Service (AMS), 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 $58 million. Its experts also assisted more than 8,000 callers with issues valued at approximately $140 million. These are just two examples of how USDA continues to support the fruit and vegetable industry.