WASHINGTON, Sept. 16, 2013 – The U.S. Department of Agriculture (USDA) has cited Del Monte Farms LLC (not Affiliated with Del Monte Corporation or Del Monte Foods) of Vineland, N.J., for failure to pay for produce.
The company failed to pay $703,632 to 19 sellers for 168 lots of produce. This is in violation of the Perishable Agricultural Commodities Act (PACA). As a result of these actions, USDA and Del Monte Farms LLC have entered into a consent decision and Del Monte Farm’s LLC cannot operate in the produce industry until Aug. 16, 2015, at which time it may apply for a PACA license.
The company’s sole principal, Daniel Del Monte, may not be employed by or affiliated with any PACA licensee until Aug. 16, 2014, and then only with the posting of a USDA-approved surety bond before being employed by or affiliated with a PACA licensee.
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 Division, regulates fair trading practices of produce companies operating subject to PACA, which includes buyers, sellers, commission merchants, dealers, and brokers within the fruit and vegetable industry. USDA is authorized to suspend or revoke a company’s license for violations of PACA. All oversight of actions related to PACA are conducted by AMS, an agency within USDA.
In the past three years, USDA resolved approximately 5,000 claims filed under PACA involving almost $96 million. This is just one more way USDA continues to support the fruit and vegetable industry.
For further information, contact Josephine E. Jenkins, Acting Chief, Investigative Enforcement Branch, at (202) 720-6873, by fax at (202) 720-8868, or by email at InvestigativeEnforcement@ams.usda.gov.
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