Section 56381 Of Article 11. Examinations And Audits From California Food And Agricultural Code >> Division 20. >> Chapter 7. >> Article 11.
56381
. (a) If, in the opinion of the department, there appears to
be reasonable grounds for investigating a complaint or notification
made under the provisions of this chapter, the department shall
investigate the complaint or notification. In the course of the
investigation, if the department determines that violations of this
chapter are indicated other than alleged violations specified in the
complaint or notification that served as the basis for the
investigation, the department may expand the investigation to include
the additional violations.
(b) In the opinion of the department, if an investigation
substantiates the existence of violations of this chapter, the
department may cause a complaint to be issued.
(c) The investigation may include, but shall not be construed to
require, examinations and audits of the books and records of any
licensee pertaining to the solvency of the licensee, or to the
purchase or handling of and accounting for any farm product purchased
or received on consignment from another licensee or the producer, or
handled as a brokerage transaction. The department may examine and
audit all pertinent books, records, weight certificates, receipts,
ledgers, journals, papers, contracts, bank statements, canceled
checks, and other documents of the licensee that show or tend to show
facts regarding the financial condition and the number and status of
accounts of growers and others who are doing business with the
licensee.