WASHINGTON, April 28, 2025 – The U.S. Department of Agriculture (USDA) has imposed sanctions on four produce businesses for failing to meet contractual obligations to the sellers of produce they purchased and failing to pay reparation awards issued under the Perishable Agricultural Commodities Act (PACA). These sanctions include suspending the businesses’ PACA licenses and barring the principal operators of the businesses from engaging in PACA-licensed business or other activities without approval from USDA.
- Elirey Group Inc., operating out of Jurupa Valley, Calif., for failing to pay a $58,351 award in favor of a California seller. As of the issuance date of the reparation order, Elizabeth Reynoso and Manuel Reynoso were listed as the officers, directors, and major shareholders of the business.
- Alicia Din, doing business as Karla Din Produce Texas, operating out of McAllen, Texas, for failing to pay a $19,909 award in favor of a Florida seller. As of the issuance date of the reparation order, Alicia Din was listed as the sole proprietor of the business.
- Fresh Fruit & Veggie Express Inc., operating out of Houston, Texas, for failing to pay a $18,940 award in favor of a Texas seller. As of the issuance date of the reparation order, Gustavo Luna was listed as the sole officer, director and stockholder of the business.
- N&M Fresh LLC, operating out of Houston, Texas, for failing to pay a $35,975 award in favor of an Arizona seller. As of the issuance date of the reparation order, Laura Mendoza was listed as the sole manager of the business.
PACA provides an administrative forum to handle disputes involving produce transactions; this may result in USDA’s issuance of a reparation order that requires damages to be paid by those not meeting their contractual obligations in buying and selling fresh and frozen fruits and vegetables. USDA is required to suspend the license or impose sanctions on an unlicensed business that fails to pay PACA reparations awarded against it as well as impose restrictions against those principals determined to be responsibly connected to the business when the order is issued. 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.
For more information, contact Penny Robinson-Landrigan, Chief, Dispute Resolution Branch, at (202) 720-2890, or PACAdispute@usda.gov.
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The PACA Division, which is in the Fair Trade Practices Program in the Agricultural Marketing Service, regulates fair trading practices of produce businesses that are operating subject to PACA, including buyers, sellers, commission merchants, dealers and brokers within the fruit and vegetable industry.
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