The U.S. Department of Agriculture (USDA) has imposed sanctions on Poblano Fresh Produce Corp. (Poblano Fresh), Los Angeles, Calif., for violating the Perishable Agricultural Commodities Act (PACA). These sanctions include barring the business and the principal operator of the business from engaging in PACA-licensed business or other activities without approval from USDA.
Poblano Fresh failed to pay $230,918 to one seller for produce that was purchased, received and accepted in interstate and foreign commerce from October 2019 to November 2019. This is in violation of the PACA. Poblano Fresh cannot operate in the produce industry until Jan. 1, 2023, and then only after they apply for and are issued a new PACA license by USDA.
By issuing these penalties, USDA continues to enforce the prompt and full payment for produce while protecting the rights of sellers and buyers in the marketplace.