The U.S. Department of Agriculture (USDA) has imposed sanctions on three companies for violating the Perishable Agricultural Commodities Act (PACA). These sanctions include barring the business and the principal operators of the business from engaging in PACA-licensed business or other activities without approval from USDA.
They are:
- Ayar Produce NY, Inc. (Ayar Produce) of Brooklyn, New York. Ayar Produce failed to pay $720,226 to 14 sellers for produce that was purchased, received, and accepted in interstate and foreign commerce from February 2020 to September 2020. Ayar Produce cannot operate in the produce industry until May 16, 2024, and then only after it applies for and is issued a new PACA license by USDA. The company’s principal, Necati Ayar, may not be employed by or affiliated with any PACA licensee until May 16, 2023, and then only with the posting of a USDA-approved surety bond.
- J & J Distributing Company (J & J) of Saint Paul, Minnesota. J & J failed to pay $493,611 to 12 sellers for produce that was purchased, received, and accepted in interstate and foreign commerce from June 2020 to April 2021. J & J cannot operate in the produce industry until July 12, 2024, and then only after it applies for and is issued a new PACA license by USDA. The company’s principals, Jason Jaynes, and New Harvest Foods Inc. may not be employed by or affiliated with any PACA licensee until July 12, 2023, and then only with the posting of a USDA-approved surety bond.
- R & S Export & Import Inc. of Doral, Florida. R & S Export & Import Inc. failed to pay $298,099 to eight sellers for produce purchased, received, and accepted in interstate commerce from January 2020 to April 2020. R & S Export & Import Inc. cannot operate in the produce industry until July 13, 2024, and then only after it applies for and is issued a new PACA license by USDA. The company’s principals, Rabby Rampersad and Shivash Rampersad may not be employed by or affiliated with any PACA licensee until July 13, 2023, and then only with the posting of a USDA-approved surety bond.
USDA is required to publish the finding that a business has committed willful, repeated, and flagrant violations of PACA, as well as impose restrictions against those principals determined to be responsibly connected to the business during the violation period. Those individuals, including sole proprietors, partners, members, managers, officers, directors, or major stockholders, may not be employed by or affiliated with any PACA licensee without USDA approval.
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.
Click here for an overview of companies that previously violated PACA.
For more information:
Corey Elliott
USDA
Tel: +1 (202) 720-6873
PACAInvestigations@usda.gov
www.ams.usda.gov