Nadine Wilkins (202)720-8998Nadine.wilkins@ams.usda.gov
WASHINGTON, June 10, 2010 – The U.S. Department of Agriculture has cited nine produce businesses for failure to pay reparation awards issued under the Perishable Agricultural Commodities Act (PACA).
These businesses have been barred from operating in the produce industry until their awards are paid. The businesses were served complaints by USDA and were given the opportunity to respond. USDA subsequently ordered payment of the amounts mentioned below.
The businesses are:
--Cal Mex Sales, operating in La Jolla, Calif., for failing to pay a $25,832 award in favor of a Mexico seller. The sole proprietor is Robert Villalobos.
--R A R Enterprises Inc., also doing business as Ramirez Bros., operating in Los Angeles, Calif., for failing to pay a $79,929 award in favor of an Arizona seller. The officers, directors, and major stockholders are Raul A. Ramirez and Alvaro A. Ramirez.
--Del Sur Fresh also doing business as Del Sur Fresh Co., operating in Los Angeles, Calif., for failing to pay a $4,827 award in favor of a California seller. The sole proprietor is Saul D. Trujillo.
--Pascho Dist. Inc., operating in Salinas, Calif., for failing to pay a $10,734 award in favor of a California seller. The sole officer, director, and stockholder is James Pascho.
--Blue Dolphin Produce LLC, operating in Fort Myers, Fla., for failing to pay a $10,724 award in favor of a Florida seller. The sole member is Gary M. Norris.
--Senor Express LLC, operating in Sioux City, Iowa, for failing to pay a $20,427 award in favor of a California seller. The sole member is Jeffrey B. Cutler.
--H G Distributors Inc., operating in Lebanon, Tenn., for failing to pay a $24,087 award in favor of a California seller. The officers, directors, and major stockholders are Brian C. Grader and Howard C. Grader.
--Montalvos International Produce of Mexico, operating in Houston, Texas, for failing to pay a $2,526 award in favor of a Texas seller. The sole proprietor is Humberto A. Montalvo.
--Avocado Importers International Inc., also doing business as Ultimate Avocado, operating in McAllen, Texas, for failing to pay a $22,499 award in favor of a California seller. The sole officer, director, and stockholder is Jay C. Humphreys.
PACA provides for damages to be paid by those not meeting their contractual obligations in buying and selling fresh and frozen fruits and vegetables. Interstate produce traders operating as commission merchants, dealers or brokers, and conducting a sufficient volume of business must be USDA-licensed.
USDA is required to suspend the license of a business that fails to pay PACA reparations awarded against it. Individuals, partners, members, officers, directors, or major stockholders associated with these businesses may not be employed by or affiliated with any PACA licensee without USDA-approval.
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