WASHINGTON, April 8, 2014 – The U.S. Department of Agriculture (USDA) has imposed sanctions on four produce businesses for failure to pay reparation awards issued under the Perishable Agricultural Commodities Act (PACA).
The following businesses and individuals are currently restricted from operating in the produce industry:
- American Limes Produce Corp., operating out of Miami, Fla., for failing to pay a $14,315 award in favor of a Florida seller. As of the issuance date of the reparation order, Sergio Tellerias and Sergio A. Tellerias were listed as the officers, directors, and/or major stockholders of the business.
- Vanguard Culinary Group Ltd., operating out of Fayetteville, N.C., for failing to pay a $25,375 award in favor of a Michigan seller. As of the issuance date of the reparation order, Charles G. Manis and Phillip R. Taylor were listed as the officers, directors, and/or major stockholders of the business.
- CYR International Inc., operating out of Alhambra, Calif., for failing to pay a $25,220 award in favor of a California seller. As of the issuance date of the reparation order, Eunchan Lim and Christian S. Park were listed as the officers, directors, and/or major stockholders of the business.
- Nuccis Produce, operating out of Carlsbad, Calif., for failing to pay an $8,126 award in favor of a Tennessee seller. As of the issuance date of the reparation order, Samuel V. Nucci, Sam L. Nucci, and Michael G. Nucci were listed as the officers, directors, and/or major stockholders of the business.
PACA provides an administrative forum to handle disputes involving produce transactions; this may result in a reparation order being issued that requires damages to be paid by those not meeting their contractual obligations in buying and selling fresh and frozen fruits and vegetables. USDA is required to suspend the license or impose sanctions on an unlicensed business that fails to pay PACA reparations awarded against it as well as impose restrictions against those principals determined to be responsibly connected to the business when the order is issued. Those individuals, including sole proprietors, partners, members, managers, officers, directors, or major 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 businesses operating subject to PACA, which includes buyers, sellers, commission merchants, dealers, and brokers within the fruit and vegetable industry. All oversight of actions related to PACA are conducted by AMS, an agency within USDA.
In the past three years, USDA resolved approximately 4,600 claims filed under PACA involving more than $87 million. This is just one more way USDA continues to support the fruit and vegetable industry.
For more information, contact John Koller, Chief, Dispute Resolution Branch at (202) 720-2890, by fax at (202) 690-2815, or by email at disputeresolutionsection@ams.usda.gov regarding this matter.
Get the latest Agricultural Marketing Service news at www.ams.usda.gov/news or follow us on Twitter @USDA_AMS. You can also read about us on the USDA blog.
USDA is an equal opportunity provider and employer. To file a complaint of discrimination, write: USDA, Office of the Assistant Secretary for Civil Rights, Office of Adjudication, 1400 Independence Ave., SW, Washington, DC 20250-9410 or call (866) 632-9992 (Toll-free Customer Service), (800) 877-8339 (Local or Federal relay), (866) 377-8642 (Relay voice users).