USDA cites PACA violator, lifts sanction

04/24/2014 11:11:00 AM
Daniel Vanderhorst

The U.S. Department of Agriculture has cited J&S Produce Corp., Chicago, for failing to pay $602,650 to 11 sellers for 475 lots of produce, according to a USDA news release.

J&S Produce cannot operate in the industry until Sept. 19, 2015, at which time it may apply for a Perishable Agricultural Commodities Act license. The company’s principals — George Pappas, Steve Pappas and James Stamas — may not be employed by any PACA licensee until Sept. 19 and then only with the posting of a USDA-approved surety bond.

 

Sanction lifted

Sun Belt Commodities Inc. has satisfied a reparation order issued under PACA, according to a USDA new release.

The company had been restricted for failure to pay a $122,221 reparation award. The Houston-based company has met its obligations and is now free to operate in the produce industry. Daniel Chen and James Lai 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.

 

Surety bond posted

Andrighetto Produce Inc., San Francisco, has posted a $250,000 cash surety agreement under PACA, according to a USDA news release.

The cash surety agreement was posted with the USDA to employ Cesar Nevarez, previously named in a PACA action. Nevarez was an officer of Action Produce Inc., South San Francisco, Calif., which was found to have committed repeated and flagrant PACA violations.

USDA will hold the $250,000 for four years, providing assurance to the industry that the company will conduct its business according to PACA rules.



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