USDA Lifts PACA Reparation Sanctions on California Produce Business



USDA Lifts PACA Reparation Sanctions on California Produce Business



WASHINGTON, D.C. – The U.S. Department of Agriculture (USDA) announced that Torres Produce satisfied a reparation order issued under the Perishable Agricultural Commodities Act (PACA).

According to a USDA press release, the Delano, CA, company has met its obligations and is now free to operate in the produce industry. Angelica Torres and Jose L. Torres were listed as the officers, directors, and/or major stockholders of the business and may now be employed by or affiliated with any PACA licensee.

As we previously reported, Torres Produce was restricted for failing to pay a $23,820 award in favor of a California seller.

The USDA is required to suspend the license of a 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.

Once a reparation order is fully satisfied and it is confirmed that there are not any outstanding unpaid awards, the USDA lifts the employment restrictions of the previously named, responsibly connected individuals. The USDA will only reinstate the license of a business to an active status if all reparation awards are satisfied and if the license is not terminated.

In the past three years, 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. 

USDA's Agricultural Marketing Service



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