GAC Produce Co., Inc., An Arizona Corporation - Page 9




                                        - 9 -                                          

              season or after 30 to 40 days from the date of the last                  
              sale;                                                                    
                   (s) debiting accounts receivable and crediting sales                
              for the full amount of the sale upon a sale of a grower's                
              produce to a purchaser (a sale could include produce from                
              both related and unrelated growers);                                     
                   (t) conducting promotional activities, such as                      
              designing print advertisements and participating in industry             
              trade shows; and                                                         
                   (u) performing at the grower's expense promotional                  
              activities involving labels not owned by either petitioner               
              or related growers.                                                      
         In liquidating an account, petitioner subtracted from the sales               
         proceeds its commission and all expenses and costs due from the               
         grower.  Petitioner then disbursed the remaining funds to the                 
         grower and gave the grower a "liquidation sheet" (final                       
         settlement statement).                                                        
              Additionally, petitioner performed the following services                
         solely for the Canelos family or for the Canelos growers:                     
                   (a) Making sales proceeds available for offset to the               
              Canelos growers' loan accounts or for disbursement to them               
              as soon as the sales were made;                                          
                   (b) performing personal administrative duties, such as              
              paying bills, for Canelos family members;                                





Page:  Previous  1  2  3  4  5  6  7  8  9  10  11  12  13  14  15  16  17  18  19  20  Next

Last modified: May 25, 2011