John H. Ginsbach

Text (OCR of the scan at left; may contain errors)

4 IN THE Marrer OF JOHN H. GINSBACH DOING BUSINESS AS ALAMO FRUIT DISTRIBUTORS, LTD.

CONSENT ORDER, ETC., IN REGARD TO THE ALLEGED VIOLATION OF SEC. 2(c) OF THE CLAYTON ACT Docket 0-228." Complaint, Sept. 11, 1962—Decision, Sept. 11, 1962 G ‘onsent. order yequiring a Texas fruit packer to cease violating Sec. 2(c) of the Clayton Act by paying commissions or discounts on a lar ge number of ‘purchases of cittus fruit by brokers and direct buyers for their own accounts for resale.

Compratnr The Federal Trade Commission, having reason to believe that the party respondent named in the caption hereof, and hereinafter more particularly described, has been and is now violating the provisions of subsection (c) of Section 2 2 of the Clayton Act, as amended (U.S.C. Title 15, Sec. 13), hereby issues its complaint, stating its charges with vespect thereto as follows:

ParacraryH 1. Respondent John H. Ginsbach is an individual doing business as Alamo Fruit Distributors, Ltd., with his office and principal place of business located in Alamo, Texas, with mailing address.as P. O. Box 1025, Alamo, Texas.

Par. 2. Respondent is now and for the past several years has been engaged in the:business of packing, selling and distributing citrus fruit, such as oranges, tangerines and grapefruit, all of which are hereinafter referred to as citrus fruit or fruit products. Respondent sells and distributes his citrus fruit through company salesmen, brokers and wholesalers, as well as direct to customers located in many sections of the United States. When brokers are utilized in making sues for him, respondent pays them for their services a brokerage or commission, usually at the rate of 5 cents per carton or 10 cents per 18% bushel box, or equivalent. Respondent’s annual volume of business in. the sale and distribution of citrus fruit is substantial. Par. 3. In the course and conduct of his business over the past several years, respondent has sold and distributed and is now selling and distributing his citrus fruit in commerce, as “commerce” is defined in the aforesaid Clayton Act, as amended, to buyers located in the several States of the United States other than the State of Texas in which respondent is located. Respondent transports, or causes such. citrus fruit, when sold, to be transported from his place of business or packing plant in the State of Texas, or from other places within the Decision and Order 61 F.T.C.

State, to such buyers or to the buyers’ customers located in various other States of the United States. Thus there has been, at all times mentioned herein, a continuous course of tradé in commerce in such citrus fruit across state lines between said respondent and the respective buyers of such fruit.

Par. 4. In the course and conduct of his business, as aforesaid, respondent has been and is now making substantial sales of citrus fruit to some, but not all, of his brokers and direct buyers purchasing for their own account for resale, and on a large number of these sales respondent paid, granted, or allowed, and is now paying, granting, or allowing to these brokers, and other direct buyers on their purchases, a commission, brokerage, or other compensation, or an allowance or discount in lieu thereof, in connection therewith. Par. 5. The acts and practices of respondent in paying, granting or allowing to brokers and direct buyers a commission, brokerage or other compensation, or an allowance or discount in lieu thereof, on their own purchases, as above alleged and described, are in violation of subsection (c) of Section 2 of the Clayton Act, as amended (U.S.C. Title: 15, Sec. 18).

Decision AND ORDER The Commission having heretofore determined to issue its complaint charging the respondent named in the caption hereof with violation of subsection (c) of Section 2 of the Clayton Act, as amended, and the respondent having been served with notice of said determination and with a copy of the complaint the Commission intended to issue, together with a proposed form of order; and . The respondent and counsel for the Commission having thereafter executed an agreement containing a consent order, an admission by respondent of all the jurisdictional facts set forth in the complaint to issue herein, a statement that the signing of said agreement is for settlement purposes only and does not constitute an admission by respondent that the law has been violated as set forth in such complaint, and waivers and provisions as required by the Commission’s. rules; and The Commission, having considered the agreement, hereby accepts. same, issues its complaint in the form contemplated by said agreement, makes the following jurisdictional findings, and enters the following order:

‘1. Respondent John H. Ginsbach is an individual doing business. as Alamo Fruit Distributors, Ltd., with his office and principal place of business located in Alamo, Texas, with mailing address as P.O. Box 1025, Alamo, Texas. a GEORGE FROST CO..ET AL, 517 515 Complaint 2. The Federal Trade Commission has jurisdiction of the.subject matter of this proceeding and of the respondent. ORDER ’ It is ordered, That the respondent John H. Ginsbach, an individual doing business as Alamo Fruit Distributors, Ltd., and his officers, agents, representatives and employees, directly or through any corporate or other device, in connection with the sale of citrus fruit, or fruit products, in commerce, as “commerce” is defined in the Clayton Act, as amended, do forthwith cease and desist from: Paying, granting, or allowing, directly or indirectly, to any buyer or to anyone acting for or in behalf of or who is subject to the direct or indirect control of such buyer, anything of value as a commission, brokerage, or other compensation, or any allowance or discount in lieu thereof, upon or in connection with any saleof citrus fruit-or fruit products to such buyer for his own account.

It is further ordered, That the respondent herein shall, within sixty (60) days after service upon him of this order, file with the Commission @ report in writing setting forth in detail the manner and form in which he has complied with this order.