USDA Files Action Against The Square Group LLC in California for PACA Violations
WASHINGTON - The USDA has filed an administrative complaint against The Square Group LLC for PACA violations.
The company, operating from California, has allegedly failed to make payment to 32 produce sellers in the amount of $1,190,177 from October 2013 through August 2014, according to a USDA press release.
The Square Group LLC will have an opportunity to request a hearing. Should the USDA find that the company committed repeated and flagrant violations, however, it would be barred from the produce industry for two years. Furthermore, The Square Group LLC’s 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, USDA resolved approximately 4,250 PACA claims involving more than $77 million. The USDA also assisted more than 7,000 callers with issues valued at approximately $110 million. Individuals, including sole proprietors, partners, members, managers, officers, directors, or major stockholders may not be employed by or affiliated with any PACA licensee without the approval of the USDA. The Agricultural Marketing Service (AMS), PACA Division, regulates fair trading practices of produce businesses operating subject to PACA.
