WASHINGTON, DC - Sanctions have been enforced by the United States Department of Agriculture (USDA) on US Fresh Corp. The Bronx, New York-based operator has been cited for violating the Perishable Agricultural Commodities Act (PACA) for allegedly failing to pay $952,319.
Direct from the USDA Agricultural Marketing Service:
These sanctions include barring the business and the principal operators of the business from engaging in PACA-licensed business or other activities without approval from USDA.
US Fresh failed to pay $952,319 to 38 sellers for produce that was purchased, received, and accepted in interstate and foreign commerce from April 2021 to April 2022. This is in violation of the PACA. US Fresh cannot operate in the produce industry until August 28, 2025, and then only after they apply for and are issued a new PACA license by USDA.
The company’s principal, Gonzalo Jaramillo, may not be employed by or affiliated with any PACA licensee until August 28, 2024, and then only with the posting of a USDA-approved surety bond.
USDA is required to publish the finding that a business has committed willful, repeated, and flagrant violations of PACA as well as impose restrictions against those principals determined to be responsibly connected to the business during the violation period. 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.
By issuing these penalties, USDA continues to enforce the prompt and full payment for produce while protecting the rights of sellers and buyers in the marketplace.
For contact information, and to read the release in its entirety, click here.
