WASHINGTON, DC - The United States Department of Agriculture (USDA) recently announced that it has imposed sanctions on California Fresh Citrus Company of Porterville, California, for violating the Perishable Agricultural Commodities Act (PACA). The sanctions include barring the company and its principal operator from engaging in PACA-licensed business or other activities without USDA approval.

Direct From the USDA Agricultural Marketing Service:

California Fresh Citrus Company failed to pay $1,128,040 to two sellers for produce that was purchased, received, and accepted in interstate and foreign commerce from March 2019 to March 2020. This is in violation of the PACA. California Fresh Citrus Company cannot operate in the produce industry until March 28, 2026, and then only after they apply for and are issued a new PACA license by USDA.

The company’s principals, Vincent Lobue and Christine Lobue, may not be employed by or affiliated with any PACA licensee until March 28, 2025, 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.

To read the release in its entirety, click here.