WASHINGTON - The USDA has restricted the operations of Duke City Produce Inc., a New Mexico-based company, for PACA violations.
Duke City Produce Inc. was allegedly cited for having failed to make payments to three produce sellers in the amount of $382,655 from August 2011 through November 2013., according to a USDA press release.
Duke City Produce Inc. will have an opportunity to request a hearing, however, should the USDA find that the company committed repeated and flagrant violations, it would be barred from the produce industry for two years. Duke City Produce Inc.’s 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.
In the past three years, the USDA resolved approximately 4,250 PACA claims involving more than $77 million. Individuals, including sole proprietors, partners, members, managers, officers, directors, or 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.
