USDA Files Action Against PACA Violator in Colorado


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Fri. March 28th, 2014 - by Jordan Okumura-Wright

<p> The USDA has cited Khalid A. Mohmand, an individual doing business as Green Farms Produce, a Denver, Colorado-based company, for failure to pay for produce.<hr class="legacyRuler"><hr class="legacyRuler"><hr class="invisible minimal-padding"> The company failed to pay $499,905 to 12 sellers for 129 lots of produce. Consequently, Mohmand has been barred from operating in the produce industry until February 25, 2016, at which time he may apply for a PACA license, according to a press release. Until then, he may not be employed by or affiliated with any PACA licensee, and then only with the posting of a USDA-approved surety bond.<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">