USDA Cites Mid-South Produce for PACA Violations


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Thu. January 16th, 2014 - by Christofer Oberst

<p> The USDA has cited Mississippi-based Mid-South Produce Co. for failure to pay for produce under the Perishable Agricultural Commodities Act (PACA).<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding"> Mid-South Produce allegedly failed to pay seven produce sellers $346,880 from December 2010 through May 2013. The company will have an opportunity to request a hearing, but if the USDA finds that the company committed repeated and flagrant violations, it would be banned from the produce industry for two years. In addition, its principals could not be employed by or affiliated with any PACA licensee for one year and then only with the posting of a USDA-approved surety bond, according to a press release.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding"> In the past three years, USDA resolved approximately 4,600 claims filed under PACA involving more than $87 million. Individuals, including 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.</p><hr class="legacyRuler"><hr class="invisible minimal-padding"><p><a class="btn btn-sm btn-primary col-lg-12" style="white-space: normal;" href=" http://www.ams.usda.gov/AMSv1.0" target="_new"> Agricultural Marketing Service </a></p><hr class="legacyRuler"><hr class="invisible minimal-padding">