WASHINGTON, D.C. - The USDA has cited Forest Park, Georgia-based company La Merced Produce LLC for failure to pay $4,351,483 to 13 sellers for 391 lots of produce, according to a press release.
Consequently, La Merced Produce can no longer operate in the produce industry until June 16, 2016, at which time it may reapply for a PACA license.
The company’s principals, Alejandro Gonzalez and Hugo Gonzalez, may not be employed by or affiliated with any PACA licensee until June 16, 2015, and then only with the posting of a USDA-approved surety bond.
In the past three years, USDA resolved approximately 4,600 claims filed under PACA involving more than $87 million. Individuals, include sole proprietors, partners, members, managers, officers, directors, and major stockholders may not be employed by or affiliated with any PACA licensee without the approval of the USDA. The Agricultural Marketing Service (AMS), PACA Division, regulates fair trading practices of produce businesses operating subject to PACA.
