WASHINGTON, D.C. – The U.S. Department of Agriculture (USDA) has filed an administrative action against Gregory Melton, doing business as GM Brokerage under the Perishable Agricultural Commodities Act (PACA).

According to a USDA press release, the company, operating out of Tennessee, allegedly failed to remit net proceeds to 22 produce sellers in the amount of $440,902 from December 2013 through October 2014.

The department noted that Gregory Melton, doing business as GM Brokerage, will have an opportunity to request a hearing. Should USDA find that the company committed repeated and flagrant violations, Melton would be barred from the produce industry for two years. Furthermore, he 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. These are just two examples of how the USDA continues to support the fruit and vegetable industry.

Agricultural Marketing Service