USDA Cites Craig Anderson and The Kinoko Company In California For PACA

AMS No. 055-11

Nadine Wilkins (202)720-8998Nadine.wilkins@ams.usda.gov

WASHINGTON, March 14, 2011 – The U.S. Department of Agriculture (USDA) has cited The Kinoko Company of Oceanside, Calif., for unlawful affiliation with Craig R. Anderson, a previous Perishable Agricultural Commodities Act (PACA) violator.

The Kinoko Company unlawfully affiliated with Craig R. Anderson during his sanction period for his involvement in Golden Gourmet Mushrooms. Golden Gourmet Mushrooms was cited for misrepresenting the country of origin of mushrooms, a violation of the PACA.

As a result of this action, The Kinoko Company cannot operate in the produce industry until Feb. 4, 2013. The company’s sole principal, Dylan G. Anderson, may not be employed by, or affiliated with any PACA licensee until Feb. 4, 2012, and then only with the posting of a USDA-approved surety bond.

Craig R. Anderson may not be employed by or affiliated with any PACA licensee from Feb. 4, 2011, through Feb. 4, 2012. After this period, he may again be employed with the posting of a USDA-approved surety bond.

Under PACA provisions, those individuals held responsibly connected to PACA violations, including sole proprietors, partners, members, officers, directors, and stockholders, may not be employed by or affiliated with any PACA licensee without USDA-approval.

The Agricultural Marketing Service (AMS), PACA Branch, regulates fair trading practices of produce companies operating subject to the PACA, which includes buyers, sellers, commission merchants, dealers, and brokers within the fruit and vegetable industry. The USDA is authorized to suspend or revoke a company’s license for violations of the PACA. All oversight of actions related to the PACA are conducted by the AMS, an agency within the USDA.

In fiscal year 2010, USDA resolved approximately 2,000 claims filed under the PACA involving $30 million. This is just one more way the USDA continues to support the fruit and vegetable industry.

For further information contact Phyllis Hall, Director, Trade Practices Section, at (202) 720-6873, by fax at (202) 720-8868, or by email at TradePracticesSection@ams.usda.gov.

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