Rio Rico Produce Company Pays Reparations

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WASHINGTON, DC – Lorex Produce LLC has paid $48,826 in reparations to the U.S. Department of Agriculture under the Perishable Agricultural Commodities Act to satisfy an order involving unpaid produce transactions.

In February, the Department of Agriculture (USDA) imposed sanctions on Lorex and two other Arizona  produce businesses for failing to meet their contractual obligations to the sellers of produce they purchased and failing to pay reparation awards issued under the Perishable Agricultural Commodities Act (PACA).

The 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.

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

  • Arizona Lemons LLC, operating out of Phoenix Ariz., for failing to pay a $16,776 award in favor of a Minnesota seller. As of the issuance date of the reparation order, Martha E. Bombela and Jose R. Partida were listed as members of the business.
  • Perfect Harvest Inc., operating out of Nogales, Ariz., for failing to pay a $243,240 award in favor of an Arizona seller. As of the issuance date of the reparation order, Jorge A. Mercado was listed as the officer, director and major stockholder of the business.
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