WASHINGTON, DC - The U.S. Department of Agriculture (USDA) has cited Sandia Distributors Inc., Nogales, Arizona, for failure to pay for produce.
According to a USDA press release, The company failed to remit net proceeds totaling $1,769,070 to four growers for 527 lots of produce. This is in violation of the Perishable Agricultural Commodities Act (PACA). As a result of these actions, Sandia Distributors Inc. cannot operate in the produce industry until January 14, 2019, at which time it may reapply for a PACA license.
The USDA also stated that company’s principal, Raul Paez, may not be employed by or affiliated with any PACA licensee until January 14, 2018, and then only with the posting of a USDA-approved surety bond.
In the past three years, USDA resolved approximately 3,500 PACA claims involving more than $58 million. Its experts also assisted more than 8,000 callers with issues valued at approximately $140 million.
