USDA Lifts PACA Reparation Sanctions on Fresh Produce Inc.
WASHINGTON, D.C. - The USDA announced that Fresh Produce Inc. satisfied a reparation order issued under the Perishable Agricultural Commodities Act (PACA).
The Dallas, Texas company has met its obligations and is now free to operate in the produce industry. Julio C. Nolasco was listed as the officer, director, and major stockholder of the business and may now be employed by or affiliated with any PACA licensee.
Fresh Produce Inc. was formerly restricted from operating in the produce industry in September 2014 for failing to pay a $15,396 award in favor of a Texas seller.
Once a reparation order is fully satisfied and it is confirmed that there are not any outstanding unpaid awards, USDA lifts the employment restrictions of the previously named, responsibly connected individuals. USDA also requires any unlicensed company that fully satisfies all unpaid reparation awards to obtain a license if it continues to operate in the industry.
In the past three years, USDA resolved approximately 4,250 claims filed under PACA involving more than $77 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.
