USDA Restricts Duke City Produce Inc. for PACA Violations
WASHINGTON, D.C. – The USDA has cited Duke City Produce Inc., an Albuquerque, New Mexico-based company, for failure to pay for produce.
The Agricultural Marketing Service (AMS), PACA Division, said in a press release that the company has allegedly failed to pay $382,655 to three sellers for 53 lots of produce. As a result, Duke City Produce Inc. has been barred from operating in the produce industry until December 4, 2017, at which time it may reapply for a PACA license.
Joseph V. Kemetz, the company’s Principal, may not be employed by, or affiliated with, any PACA licensee until December 4, 2016, and then only with the posting of a USDA-approved surety bond.
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 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.
