Washington, D.C.

The USDA has cited Freshco Foodservice Inc. of Portland, OR for failure to pay $288,371 to eight sellers for 58 lots of produce.

The company failed is in violation of the Perishable Agricultural Commodities Act. As a result of these actions, Freshco Foodservice Inc. cannot operate in the produce industry until March 16, 2015, according to a release from the USDA's Agricultural Marketing Services. After this date the company may reapply for a PACA license.

The company’s sole principal, Christopher E. Kathrens, may not be employed by or affiliated with any PACA licensee until March 16, 2014, and then only with the posting of a USDA-approved surety bond. In addition, two other principals are challenging their responsibly connected status, the release states.

Under PACA provisions, those individuals held responsibly connected to PACA violations including sole proprietors, partners, members, officers, directors, and stockholders, may not be employed by or affiliated with any PACA licensee without USDA-approval.

Agricultural Marketing Service