USDA Restricts PACA Violators in New York, Texas, and Florida from Operating in the Produce Industry



USDA Restricts PACA Violators in New York, Texas, and Florida from Operating in the Produce Industry



WASHINGTON, D.C. - The United States Department of Agriculture (USDA) has imposed sanctions on four different produce businesses under the Perishable Agricultural Commodities Act (PACA).

According to a press release, the following companies and individuals are restricted from operating in the produce industry for failure to pay reparation awards:

  • Economic Tropical Foods Ltd., operating out of Rochester, N.Y., for failing to pay a $243,986 award in favor of a Florida seller. As of the issuance date of the reparation order, Frank Oliveri was listed as Officer, Director, and major stockholder of the business.
  • J. T. Fruit Company Inc., operating out of McAllen, Texas, for failing to pay a $3,600 award in favor of a Texas seller. As of the issuance date of the reparation order, James T. Obst was listed as Officer, Director, and major stockholder of the business.
  • Jacobs Village Farm, operating out of Brooklyn, N.Y., for failing to pay a $32,357 award in favor of a Pennsylvania seller.  As of the issuance date of the reparation order, Jacob Yusifov was listed as Officer, Director, and major stockholder of the business.
  • Lau Enterprises II Inc., operating out of Miami, Fla., for failing to pay a $25,214 award in favor of a Florida seller.  As of the issuance date of the reparation order, Leonardo Gonzalez was listed as Officer, Director, and major stockholder of the business.

According to the USDA, the Agricultural Marketing Service (AMS), PACA Division, regulates fair trading practices of produce businesses operating subject to PACA, which includes buyers, sellers, commission merchants, dealers, and brokers within the fruit and vegetable industry. All oversight of actions related to PACA are conducted by AMS, an agency within the USDA.

In the past three years, the USDA resolved approximately 3,700 PACA claims involving more than $66 million. Its experts also assisted more than 7,100 callers with issues valued at approximately $100 million. These are just two examples of how USDA continues to support the fruit and vegetable industry.

Agricultural Marketing Service