USDA Restricts PACA Violators in Arizona, California and New York from Operating in the Produce Industry

WASHINGTON, March 16, 2026 – The U.S. Department of Agriculture (USDA) has imposed sanctions on three 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 from engaging in PACA-licensed business or other activities without USDA approval.

The following businesses and individuals are currently restricted from operating in the produce industry:

• Del Rancho Produce LLC, operating out of Rio Rico, Ariz., for failing to pay a $17,398 award in favor of a California seller. As of the issuance date of the reparation order, Maria Arellano was listed as the sole member of the business.

• ARG Global Trade LLC, operating out of Kerman, Calif., for failing to pay a $131,419 award in favor of a Washington seller. As of the issuance date of the reparation order, Jose Ramirez Carmona was listed as a manager/member of the business. Another principal of the business at the time of the order was Jamie Verduzco. 

• Guercio & Sons, operating out of Buffalo, N.Y., for failing to pay a $27,547 award in favor of a New York seller. As of the issuance date of the reparation order, John Guercio, Salvatore Guercio and Gaetano Guercio were listed as the officers, directors, and major shareholders 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.}

_{USDA is an equal opportunity provider, employer, and lender.}