The U.S. Department of Agriculture has filed an administrative action under the Perishable Agricultural Commodities Act against a Chicago wholesaler specializing in organic and locally grown produce.
Goodness Greeness Inc., which marked 25 years in business in 2016, allegedly failed to pay 12 sellers $259,993 from April through June 2016, according to a news release.
USDA had sanctioned the company last June for failing to pay a a $16,179 reparation award in favor of a California seller.
Goodness Greeness filed for Chapter 7 bankruptcy a month later, on July 25.
At the time of the USDA sanction against Goodness Greeness, Howard Berington, Richard Scaman and Robert Scaman Jr. were listed as the company’s officers, directors and major stockholders, while Rodney Scaman had challenged his responsibly connected status.
Goodness Greeness may request a hearing, but the company would be barred from the industry for two years if USDA rules the company committed repeated and flagrant violations of PACA rules, and responsibly connected individuals would be out of the industry for a year.