Nadine Wilkins (202)720-8998Nadine.wilkins@ams.usda.govBilly Cox (202)720-8998Billy.cox@ams.usda.gov
WASHINGTON, March 25, 2010 – The U.S. Department of Agriculture has cited six 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:
--Cerritos Produce LLC, operating in Phoenix, Ariz., for failing to pay a $3,812 award in favor of a California seller. The sole officer, director, and stockholder is Alfredo Gomez.
--MRP Inc., operating in Los Angeles, Calif., for failing to pay a $56,743 award in favor of a California seller. The sole officer, director, and stockholder is Manuel R. Pinon.
--Agro Mex Produce Inc., operating in San Diego, Calif., for failing to pay a $14,218 award in favor of a California seller. The officers, directors, and major stockholders are Silvia Pitones and Jose R. Pitones-Salazar.
--Ballantine Produce Company Inc., operating in Sanger, Calif., and Reedley, Calif., for failing to pay a $19,845 award in favor of a Washington seller. The officers, directors, and major stockholders are Eric Albertson, David Albertson, Babijuice Corp. of CA, and Virgil E. Rasmussen.
--Watermelon Express LLC, operating in Higganum, Conn., for failing to pay a $161,072 award in favor of a Georgia seller. The sole member is Kathleen M. Annicelli.
--F K Produce Co. LLC, operating in Greensboro, N.C., for failing to pay a $65,249 award in favor of a California seller. The members are Octavio Feerman and Stephen C. Kim.
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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