In addition, the firm was denied issuance of a PACA license. The firm purchased, received and accepted the lots from 26 sellers in the course of interstate and foreign commerce between September 1996 and January 1997. The firm was denied a license because it violated the PACA, said Dr. Figueroa. USDA served the firm with the complaint, and the firm consented to the action.
PACA establishes a code of good business conduct for the produce industry.
USDA is authorized to suspend or revoke a trader's license for violating the act.