USDA bans 3 businesses from operating for PACA violations

Stemming from failure to pay Perishable Agricultural Commodities Act reparations, the department barred principal operators from working in PACA-licensed businesses and also suspended the PACA licenses of businesses.

Money, U.S. dollars
Money, U.S. dollars
(Photo: Andy Dean, Adobe Stock)

The USDA has imposed sanctions on three produce businesses for a failure to meet contractual obligations to produce sellers the companies purchased, according to a news release.

The USDA said it also imposed sanctions on the companies for a failure to pay reparations issued under the Perishable Agricultural Commodities Act.

As part of its sanctions, the agency barred the principal operators of these businesses from engaging in PACA-licensed businesses, suspending the PACA licenses of the businesses in question.

The USDA said it restricted these businesses and individuals from operating in the produce industry:

  • La Michoacana Fruit Wholesale, operating out of Los Angeles, for failing to pay $106,628 to a California seller. As of the issuance date of the reparation order, the USDA said the business listed Jaqueline P. Garduno as the officer, director and major stockholder.
  • Figota Produce Co. LLC, operating out of Las Vegas, for failing to pay $18,900 to a Texas seller. As of the issuance date of the reparation order, the business listed Jose Jesus Figueroa as the member and manager of the business.
  • JD Produce Maspeth LLC, operating out of Maspeth, N.Y., for failing to pay $3,352 to a New York buyer. As of the issuance date of the reparation order, the business listed Shengbo Dong as the member and manager of the business.
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