Wayne Bailey Inc. sanctioned for $8 million in PACA claims

(Photo courtesy Unsplashed; graphic by Brooke Park)

The U.S. Department of Agriculture has imposed sanctions on Wayne Bailey Inc., Chadbourn, N.C., for violating the Perishable Agricultural Commodities Act.

These sanctions include barring the business and the principal operators of the business from engaging in PACA-licensed business or other activities without approval from USDA.

Wayne Bailey Inc. (WBI) failed to pay $8,182,415 to 46 sellers for produce that was purchased, received and accepted in interstate and foreign commerce from June 2015 to April 2018. This is in violation of the PACA. WBI cannot operate in the produce industry until Dec. 31, 2022, and then only after they apply for and are issued a new PACA license by USDA.

The company’s principal, George Wooten, Jr., may not be employed by or affiliated with any PACA licensee until Dec. 31, 2021, and then only with the posting of a USDA approved surety bond.

USDA is required to publish the finding that a business has committed willful, repeated and flagrant violations of PACA as well as impose restrictions against those principals determined to be responsibly connected to the business during the violation period. Those individuals, including sole proprietors, partners, members, managers, officers, directors or major stockholders may not be employed by or affiliated with any PACA licensee without USDA approval.

By issuing these penalties, USDA continues to enforce the prompt and full payment for produce while protecting the rights of sellers and buyers in the marketplace.

 For further information, contact Corey Elliott, Chief, Investigative Enforcement Branch, at (202) 720-6873 or PACAInvestigations@usda.gov.

 

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