WASHINGTON, DC - According to the U.S. Department of Agriculture (USDA), New Start Produce Group has satisfied a reparation order in the amount of $33,214 issued under the Perishable Agricultural Commodities Act (PACA) involving unpaid produce transactions.
The Dallas, Texas, company has met its obligations and is now free to operate in the produce industry. Carlos Chavez and Ruben Ayala were listed as the members of the business and may now be employed by or affiliated with any PACA licensee.
Direct From the USDA Agricultural Market Service:
PACA provides an administrative forum to handle disputes involving produce transactions. This may result in USDA’s issuance of a reparation order 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.
Once a reparation order is fully satisfied and it is confirmed that there are not any outstanding unpaid awards, USDA lifts the employment restrictions of the previously named, responsibly connected individuals. USDA also requires any unlicensed company that fully satisfies all unpaid reparation awards to obtain a license if it continues to operate in the industry.
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