USDA reports PACA violations - The Packer

USDA reports PACA violations

02/19/2010 01:58:00 PM
The Packer Staff

The U.S. Department of Agriculture has cited four produce businesses for failure to pay reparation awards issued under the Perishable Agricultural Commodities Act.

These businesses have been barred from operating in the produce industry until their awards are paid. The businesses were served complaints by USDA and were given the opportunity to respond.

The businesses:

  • H&H Distributing Co. Inc., also doing business as H&H Foodservice, West Union, Iowa, for failing to pay a $16,559 award in favor of a Minnesota seller. The officers, directors, and major stockholders are Sandra Baldwin, Ruth Hansen, and Donald Hansen Estate.
  • Riley Produce Inc., Raleigh, N.C., for failing to pay a $7,489 award in favor of a South Carolina seller. The officers, directors, and major stockholders are Flavio Gonzalez and Delia Gonzalez.
  • Fresh World VA-A Inc., also doing business as Fresh World, Reston, Va., for failing to pay a $42,348 award in favor of a Maryland seller. The sole officer, director, and stockholder is Charles Kim.
  • D Kastner Produce, Brookfield, Wis., for failing to pay a $12,877 award in favor of a Wisconsin seller. The sole proprietor is David Kastner.

The USDA also has cited B.T. Produce Co. Inc., Bronx, N.Y., for PACA violations.

As a result, the company cannot operate in the produce industry until Nov. 4, 2011, and then only if it obtains a PACA license.

The company made illegal payments to a USDA inspector in connection with 42 inspections of perishable agricultural commodities, which the company purchased, received, and accepted in interstate and foreign commerce during the period of March through August 1999.

After hearing and appeal procedures through the U.S. court of appeals, USDA’s decision and order became final and effective on Nov. 4, 2009.

The company’s principals, Louis Bonino and Nat Taubenfeld, may not be employed by or affiliated with any PACA licensee until Nov. 4, and Nov. 7, respectively, and then only with the posting of a USDA-approved surety bond.



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