Washington, DC

The USDA has filed an administrative action under the Perishable Agricultural Commodities Act against Washington-based Snokist Growers. The company has allegedly failed to pay eight produce growers $696,853 from July 2011 through September 2011.

Snokist Growers will have an opportunity to request a hearing and should the USDA find that the company committed repeated and flagrant violations, it would be barred from the produce industry for a period of two years, according to a press release. In addition to these conditions, the 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.

The USDA has resolved an estimated 5,000 claims filed under the PACA involving $96 million in just the past three years. The Agricultural Marketing Service, PACA Division, regulates fair trading practices of produce companies operating subject to the PACA. Companies include buyers, sellers, commission merchants, dealers, and brokers within the fruit and vegetable industry.

Snokist Growers