USDA suspends PACA licenses of two Custom Cuts companies

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WATERMELON — F.O.B.S AS OF MAY 13

MEXICO CROSSINGS THROUGH NOGALES, ARIZ. — Crossings (705-766-766, seedless 683-751-759, seeded 22-15-7) — Movement expected about the same. Trading seeded slow, others moderate. Prices seedless 35-60 counts lower, others generally unchanged. Red-flesh seedless-type per pound 24-inch bins approximately 35-60 counts mostly 20 cents, 75-80s 14-16 cents; red-flesh seeded-type approximately 35-55 counts 12-14 cents. Flat cartons red-flesh seedless miniature 6-9s $7-9. Quality variable. Many present shipments from prior bookings and/or previous commitments.

LOWER RIO GRANDE VALLEY, TEXAS — Shipments (29-96-255, seedless 26-83-223, seeded 3-13-32) — Movement expected to decrease slightly. Trading very active at slightly lower prices. Prices 24-inch bins per-pound red-flesh seedless-type approximately 35-60 counts 28 cents, seeded-type approximately 28-35 counts mostly 21-22 cents. Quality generally good. Most present shipments from prior bookings and/or previous commitments at lower prices.

FLORIDA — Shipments (124-159-233, red-flesh seeded 16-29-53, red-flesh seedless 51-130-180) — Movement expected to increase as more growers start the season in central Florida. Harvesting slowed. Trading very active. Prices generally unchanged. 24-inch bins per-pound red-flesh seeded-type 35s 24-25 cents; red-flesh seedless-type 45 count 29-30 cents, 60 count 29-30 cents. Quality generally good.

IMPERIAL AND COACHELLA VALLEYS, CALIF., AND CENTRAL AND WESTERN ARIZONA — Shipments (AZ seedless 0-23-16, CA 0-26-78, seedless 0-24-73, seeded 0-2-5) — Movement from western Arizona, Imperial and Coachella valleys expected to increase seasonally. Trading fairly active at slightly lower prices. Prices slightly lower. Red-flesh seedless-type per pound 24-inch bins approximately 35 and 45 counts mostly 22 cents. Organic red-flesh seedless 24-inch bins per pound approximately 35 and 45 counts 35 cents; miniature carton 6s and 8s $20.50. Quality generally good. Harvest central Arizona expected to begin the week of May 27.

Industry Alerts: USDA proceedings,
Bankruptcy petitions — Learn more...
New Companies: PACA new
licensees — Learn more...
Bankruptcy petitions have been filed by these companies — Learn more...
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Home > Newsletters > Week-in-Review > USDA suspends PACA licenses of two Custom Cuts companies

Week-in-Review

USDA suspends PACA licenses of two Custom Cuts companies

01/10/2013 3:10:00 PM
Tara Schupner

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The U.S. Department of Agriculture cited two related companies for failing to pay for produce, a violation of the Perishable Agricultural Commodities Act.

The USDA sanctioned Custom Cuts Inc. for failing to pay $9,899 for one lot of produce. The USDA previously filed action against CCI for failing to pay $217,128 for produce bought in 2008-09, The Packer reported in June.

Custom Cuts Fresh LLC also was sanctioned for failing to pay eight sellers $976,399 for 144 lots of produce bought from November 2010 through July 2011.

Both companies are based in Milwaukee.

As a result of the citation, both companies cannot operate in the industry until Dec. 19, 2014. The responsibly connected individual listed, Bradley Beckman, can’t work in the industry for a year, and then only with an USDA-approved bond.

Surety bond

Patrick Family Farms LLC., Omega, Ga., posted a $20,000 surety bond in order to obtain a PACA license and operate in the industry.

The bond followed Patrick Family Farms’ involvement in bankruptcy.