The U.S. Department of Agriculture imposed sanctions on five 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. These sanctions include suspending the businesses’ PACA licenses and barring the businesses’ 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:

  • Integral Fresh LLC, operating out of Reedley, CA, for failing to pay a $305,578 award in favor of a California seller. As of the issuance date of the reparation order, Matthew C. Brletic, MC Brletic Farms LLC and Campos Automotive Consulting Inc, were listed as members of the business.
  • Washington Export LLC, operating out of Yakima, WA, for failing to pay a $106,202 award in favor of a New York seller. As of the issuance date of the reparation order, Jeffrey C. Lublin was listed as the manager/member of the business. Javier B. Munguia, another principal of the business at the time of the order, has challenged his responsibly connected status.
  • Agustin Barrales Produce Inc., operating out of Perris, CA, for failing to pay a $47,226 award in favor of an Arizona seller. As of the issuance date of the reparation order, Agustin Barrales was listed as the officer, director and major stockholder of the business.
  • Alvarez Farms LLC, operating out of Everett, WA, for failing to pay a $39,004 award in favor of a Texas seller. As of the issuance date of the reparation order, Ruben Alvarez was listed as the member/manager of the business.
  • Oscar Produce, operating out of Brooklyn, NY, for failing to pay a $17,058 award in favor of a Pennsylvania seller. As of the issuance date of the reparation order, Oskar Krakhmal was listed as the officer, director and major stockholder 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.