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LAW AND REGULATION

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From Times Staff and Wire Reports

Juice Maker Pays $6 Million to Settle With Pentagon: A California company has agreed to pay the government $6 million to settle charges that a plant manager sold the Department of Defense diluted juice at the price of pure orange juice. The settlement by Paramount Citrus Assn. of San Fernando kept the case from going to court, U.S. Atty. Michael M. Baylson announced in Philadelphia. In addition to the company payment, former plant manager Ari Karbalai paid a $900,000 settlement to avoid prosecution, Baylson said. PCA said it has fired Karbalai. Instead of 100% orange juice, the Department of Defense found that PCA was using such ingredients as apple juice, pear juice and sugar.

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