WASHINGTON – The U.S. Department of Agriculture (USDA) has imposed sanctions on four PACA violators in Illinois, California, and Florida for failure to pay reparation awards, according to a USDA press release.

According to the release, the following businesses and individuals are currently restricted from operating in the produce industry:

• La Siembra Produce Inc., operating out of Chicago, Ill., for failing to pay a $5,920 award in favor of a Texas seller. As of the issuance date of the reparation order, Eduardo Ornelas was listed as the officer, director, and major stockholder of the business.
• Sentinela Fresh Produce Inc., operating out of Chula Vista, Calif., for failing to pay an $8,364 award in favor of an Arizona seller. As of the issuance date of the reparation order, Javier Medina was listed as an officer, director, and major stockholder of the business. Another principal of the business at the time of the order was Hector Lomeli, who has challenged his responsibly connected status.
• MD Food Market Inc., operating out of Tampa, Fla., for failing to pay a $24,960 award in favor of a Florida seller. As of the issuance date of the reparation order, Maikel Duarte was listed as the officer, director, and major stockholder of the business.
• E Fresh Produce Inc., operating out of Los Angeles, Calif., for failing to pay a $5,831 award in favor of a California seller. As of the issuance date of the reparation order, Juan Martinez was listed as the officer, director, and major stockholder of the business.

USDA is required to suspend the license or impose sanctions on an unlicensed business that fails to pay PACA reparations awarded against it as well as impose restrictions against those principles determined to be responsibly connected to the business when the order is issued. 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.

In the past three years, USDA resolved approximately 4,250 PACA claims involving more than $77 million. USDA experts have also assisted more than 7,000 callers with issues valued at approximately $110 million. Individuals, including sole proprietors, partners, members, managers, officers, directors, or major stockholders may not be employed by or affiliated with any PACA licensee without the approval of the USDA. The Agricultural Marketing Service (AMS), PACA Division, regulates fair trading practices of produce businesses operating subject to PACA.

Agriculture Marketing Service