New Zealand dairy accepts milk scandal verdicts

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Posted on 24th January 2009 by Gordon Johnson in Uncategorized

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Date: 1/24/2009

WELLINGTON, New Zealand (AP) — New Zealand dairy Fonterra said Saturday it accepted a Chinese court’s conviction of 21 people blamed in a deadly contaminated milk scandal, but that it does not condone the death sentences handed to two of them.

Fonterra Group — which had owned 43 percent of China’s Sanlu Group at the center of the scandal — was responsible for alerting Chinese authorities in August that milk had been contaminated with the industrial chemical melamine. By December, Fonterra had written off its $200 million investment in the Chinese dairy group.

On Friday, a Chinese court sentenced to death cattle farmer Zhang Yujun and milk trader Geng Jinping for their parts in the scandal that killed at least six babies and left nearly 300,000 other children sickened. Melamine was added to watered down milk to make it appear to have a higher protein content.

A third man, Gao Junjie, was given a death sentence for endangering public safety, but it was suspended for two years, and may be commuted to life in prison.

The former Sanlu chairwoman, Tian Wenhua, was fined 24.7 million yuan ($2.9 million) and will spend the rest of her life behind bars.

“We accept the court’s findings but Fonterra supports the New Zealand Government’s position on the death penalty,” Fonterra Chief Executive Andrew Ferrier said Saturday. “Fonterra deeply regrets the harm and pain this tragedy has caused so many Chinese families.”

Prime Minister John Key said Friday that New Zealand “does not condone the death sentence, but we respect (China’s) right to take a very serious attitude to what was an extremely serious scandal.”

Sanlu has gone into receivership and the receiver has six months to sell the company’s assets.

Shijiazhuang-based Sanlu Group Co. in Hebei province was the first Chinese milk company to confirm melamine contamination in its infant milk formula products.

More than 30 Chinese dairy companies have since been implicated in the tainted milk scandal.

Fonterra, which controls more than 95 percent of New Zealand’s milk supply, is the country’s largest multinational business, its second-biggest foreign currency earner and accounts for more than 24 percent of the nation’s exports.

Copyright 2009 The Associated Press.


Attorney Gordon Johnson
Chair Traumatic Brain Injury Litigation Group, American Association of Justice
g@gordonjohnson.com :: 800-992-9447 :: Attorney Gordon S. Johnson, Jr.

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213 China families take milk case to highest court

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Posted on 19th January 2009 by Gordon Johnson in Uncategorized

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Date: 1/19/2009

By GILLIAN WONG
Associated Press Writer

BEIJING (AP) — More than 200 families whose babies fell ill after drinking tainted infant formula said Monday they are taking their case to China’s highest court after being repeatedly ignored by lower courts.

The lawsuit involving 213 families poses a challenge to the government’s attempts to end one of the country’s worst food safety crises. The scandal over milk spiked with an industrial chemical has been blamed for the deaths of six babies and the sickening of nearly 300,000 others with kidney stones and kidney failure.

The 22 Chinese dairies involved have proposed a 1.1 billion yuan ($160 million) compensation plan, but many parents want higher compensation and long-term treatment for their babies.

“The reason why I’m bringing this case to court is not about money but about my child’s future,” said Zhang Ge, a single mother in Beijing who quit her job at an Internet advertising company to look after her sick son.

Beijing attorney Xu Zhiyong said lawyers for the families mailed an application Friday to the Supreme People’s Court in Beijing to sue the dairies.

But it seemed unlikely the court would hear the lawsuit, given that lower courts have so far refused to hear at least a dozen lawsuits in the politically sensitive scandal.

The lawyers’ group has not been notified if the application has been received. Phone calls to the inquiry office of the Supreme People’s Court rang unanswered Monday.

The government and the dairy companies had hoped the nationwide payout scheme would ease public anger. Instead, it has given embittered, outspoken parents across the country a common cause.

Xu said the lawsuit seeks 36 million yuan ($5.3 million) in total compensation for the families. It also demands payment of medical expenses incurred from tainted milk-related problems for the rest of the victims’ lives.

“The compensation being offered is just too little,” Xu said in a phone interview. “The parents are also not happy about the plan to give free medical care only till 18 years of age.”

Previous applications to sue Sanlu Group Co., the dairy at the center of the scandal, in lower courts in Hebei, where the company is based, were ignored, Xu said.

Investigations have found that milk suppliers added melamine, which like protein is rich in nitrogen, to watered-down milk to fool quality tests for protein content. Melamine, a chemical used to make plastics and fertilizers, can cause kidney stones and kidney failure.

Copyright 2009 The Associated Press.


Attorney Gordon Johnson
Chair Traumatic Brain Injury Litigation Group, American Association of Justice
g@gordonjohnson.com :: 800-992-9447 :: Attorney Gordon S. Johnson, Jr.

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China: 'Out of control' dairy system led to abuse

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Posted on 23rd September 2008 by Gordon Johnson in Uncategorized

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Date: 9/23/2008 9:09 AM

By TINI TRAN
Associated Press Writer

BEIJING (AP) _ China’s agriculture minister acknowledged Tuesday that the country’s milk-gathering system was “out of control” and led to abuses that put contaminated dairy products in stores across Asia, sickening some 54,000 babies and killing four.

At least six Asian countries banned or curbed imports of Chinese dairy products, and the World Health Organization warned of possible smuggling of melamine-tainted infant formula across borders. The European Union told customs authorities to keep a closer eye on food imports from China.

Melamine, used to make plastics and fertilizer, has been found in infant formula and other milk products from 22 Chinese dairy companies. Suppliers trying to cut costs are believed to have added it to watered-down milk because its high nitrogen content masks the resulting protein deficiency.

Since the discovery of tainted milk was made public, China’s government has scrambled to respond. Recent days have seen a number of arrests and forced resignations of officials.

Chinese state television reported that the company at the center of the scandal, Sanlu Group Co., received complaints about tainted formula beginning last December and waited eight months to tell the local government, which then waited another month before informing higher authorities.

Agriculture Minister Sun Zhengcai told a meeting with the health and public security ministries that the industrial chemical melamine was likely added at stations that collect milk from small individual dairy farmers.

“Since milk stations began only in recent years, the country now has no specific method of supervising them, or clear-cut supervision department. The purchasing process of raw milk is basically out of control,” Sun said, according to a summary of his comments posted Tuesday on his ministry’s Web site.

“We must crack down on them with the greatest determination and the toughest measures,” Sun said in the meeting held late Monday.

A group of 316 Chinese milk producers and retailers issued a joint statement promising to keep the dairy industry clean, state broadcaster China Central Television reported late Tuesday.

Among other things, producers promised to reject sub-standard raw materials, strictly inspect production, and take responsibility for product quality. Retailers also promised closer inspections.

Sanlu had no comment Tuesday about the allegations on state television.

CCTV reported Monday night that an investigation by the State Council, China’s Cabinet, found that Sanlu had been receiving complaints about its infant formula as early as December 2007. The dairy company discovered melamine in its milk powder in June but did not report it to city officials until Aug. 2, it said.

“During these eight months, the company did not inform the government and did not take proper measures, therefore making the situation worse,” CCTV said.

The Shijiazhuang city government then failed to report the case to the Hebei provincial government until Sept. 9, CCTV said. Sanlu products were recalled from stores two days later and Shijiazhuang’s top Communist Party official fired.

Anthony Hazzard, the Western Pacific director of the World Health Organization, said 82 percent of the children made sick by the formula were 2 years old or younger.

The sick included 12,892 babies in hospitals, 39,965 who have received outpatient treatment, and an additional 1,579 patients discharged from hospitals, he said, citing China’s Ministry of Health.

Hazzard said countries had been advised to focus particularly on smuggled formula by the International Food Safety Authorities (INFOSAN), a network of 167 countries organized by the WHO and the Food and Agriculture Organization.

He said authorities do not know at this stage what countries may have received the contaminated products.

“I think the greatest fear is if there has been illegal movement of the heavily contaminated products rather than the legal movement of products that may have very low levels of melamine,” said Hazzard, speaking in Manila where the WHO’s regional headquarters is located.

The head of the Chinese agency that monitors food and product safety stepped down Monday. The resignation of Li Changjiang, who headed the General Administration of Quality Supervision, Inspection and Quarantine since 2001, comes a year after he and the government promised to overhaul the system in response to a series of product safety scares.

New regulations and procedures were introduced in an attempt to restore consumer confidence and preserve export markets after a string of recalls involving tainted toothpaste, faulty tires, contaminated seafood and in March 2007, pet food containing melamine that was blamed for the deaths of dogs and cats in the United States.

According to the Health Ministry, of the 53,000 sickened children, 12,892 remain hospitalized, with 104 in serious condition. Another 39,965 children were treated and released.

Baby formula and other milk products have been pulled from stores around the country and Chinese dairy products have been recalled or banned in Bangladesh, Japan, Singapore, Vietnam, Brunei, Malaysia and Hong Kong.

Four Hong Kong children have been reported with kidney stones.

European Commission spokeswoman Nina Papadoulaki said the EU’s 27 member states do not import baby formula or other dairy products from China.

But she said national customs authorities across the EU were asked last week to step up checks on imports of “composite products,” such as bread or chocolate, to ensure they contain no traces of contaminated milk.

One of China’s biggest milk producers, China Mengniu Dairy Co., saw its stock price plummet slightly more than 60 percent in Hong Kong trading Tuesday after its products were found tainted with the industrial chemical melamine.

Mengniu, China’s No. 1 dairy producer in total volume, said only a small portion of its products were contaminated and blamed the contamination on “the illegal acts of some irresponsible milk collection centers and raw milk dealers.”

“The board wishes to sincerely apologize for the incident and any inconvenience caused to the public,” the company said in a statement to the Hong Kong stock exchange.

Copyright 2008 The Associated Press.


Attorney Gordon Johnson
Chair Traumatic Brain Injury Litigation Group, American Association of Justice
g@gordonjohnson.com :: 800-992-9447 :: Attorney Gordon S. Johnson, Jr.

http://subtlebraininjury.com :: http://brainanatomyguide.com :: http://car-accident-rain.com :: http://tbilaw.com
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