Michael Herman and Dearbail Jordan
Download 'Too Hot', an exclusive Specials track from iTunes
Cadbury Schweppes today apologised after it was fined £1 million for breaching food safety laws in a national salmonella outbreak that infected 42 people.
The drinks and confectionary giant, which pleaded guilty to nine food safety offences in earlier hearings, was also ordered to pay costs of £152,000 by a judge at Birmingham Crown Court this afternoon.
The charges, which included a failure by Cadbury to notify the authorities of positive tests for salmonella, were brought after a total of 42 people fell ill during last year’s outbreak that contaminated its popular Dairy Milk chocolate bars.
The court had the power to levy an unlimited fine.
Recorder James Guthrie, QC, fined Cadbury £500,000 for putting unsafe chocolate on sale and a further £500,000 for various breaches of food safety regulations.
“I regard this as a serious case of negligence,” the judge said. “It therefore needs to be marked as such to emphasise the responsibility and care which the law requires of a company in Cadbury’s position.”
Cadbury, which spent £15 million recalling contaminated chocolate and a further £20 million on safety modifications, apologised offering its “sincere regrets” to those affected.
A spokesman for the confectioner, founded by a Quaker family in 1824, insisted the company had acted in good faith, a point the judge agreed with when he dismissed the prosecution’s suggestions that Cadbury had introduced the procedural changes that led to the outbreak as a cost-cutting measure.
The judge said Cadbury had accepted that a new testing system, described as a “distinct departure from previous practice”, was "badly flawed and wrong”.
Lawyers for Cadbury told the judge that the changes were introduced to improve safety.
Anthony Scrivener, QC, for Cadbury, said: “Negligence we admit, but we certainly do not admit that this was done deliberately to save money and nor is there any evidence to support that conclusion.”
Nick McMahon, a partner at lawyers Reynolds Porter Chamberlain, said: "Despite Cadbury's attempts to play down this significant fine, make no mistake it was intended to hurt and is one of the largest of its kind to date.
"This reflects no doubt the company's high profile and the length of time over which the admitted breach took place, but will also send out a blunt warning to smaller businesses of the government's intentions regarding enforcement of food safety laws."
Paul Burnley, a food safety and product recall lawyer at DLA Piper, said:
"This is an enormous amount of money to be fined. It shows that companies have to move fast when it comes to dealing with product recall issues."
Cadbury said it had "undertaken a full review of our quality procedures to learn lessons and ensure that our consumers can rely on the highest levels of processes and standards."
Win a luxury weekend to Newcastle and its neighbour Gateshead, find out more here
Risk, resilience and embracing new technology
Industry sectors news at a glance. Interactive heatmap, video and podcast
Discover the power of collective thinking. Submit a solution and be in with a chance to win a Media Hub Home Entertainment System
The inside track on current trends in the charity, not for profit and social enterprise sectors
Everything the Business Traveller needs to know to make a better trip
Make the most of the summer and enter our fabulous photographic competition, you could win a £5000 holiday
Corsica is an island of beauty and contrast, an ideal holiday destination
Enjoy further reading from Travel to Fashion, Business to Sport, discover more
Shortcuts to help you find sections and articles
The clever way to lease a new car is with Car leasing made simple™
2009
per month on 36-month
Personal Contract Hire (PCH)
2008
42850
Car Insurance
£24,250 - £30,346
MI5
London
£60,000
The Environment Agency
Bristol
Up to £90K
Boots
Midlands
OTE £85k
Credit Protection Association
Nationwide Opportunities
Completely London
Luxury Condo's in Manhattan with NYC views
The best new homes in Wimbledon?
Nationwide
Fabulous Cruise And Cruise & Stay Offers Including Virgin Atlantic Flights Prices Start From Only £699pp!
Last Minute Cruise And Cruise & Stay Offers. Med From £499pp, Caribbean From £699pp!
5 star quality at a 3 star price.
8 fabulous Canadian cities ...you won’t find cheaper
Contact our advertising team for advertising and sponsorship in Times Online, The Times and The Sunday Times, or place your advertisement.
Times Online Services: Dating | Jobs | Property Search | Used Cars | Holidays | Births, Marriages, Deaths | Subscriptions | E-paper
News International associated websites: Globrix Property Search | Property Finder | Milkround
Copyright 2009 Times Newspapers Ltd.
This service is provided on Times Newspapers' standard Terms and Conditions. Please read our Privacy Policy.To inquire about a licence to reproduce material from Times Online, The Times or The Sunday Times, click here.This website is published by a member of the News International Group. News International Limited, 1 Virginia St, London E98 1XY, is the holding company for the News International group and is registered in England No 81701. VAT number GB 243 8054 69.
They should have known better. A well deserved lesson.
John , Worksop, Nottinghamshire
Someone please tell me which products were tainted! Still have Fruit & Nut bars in my fridge purchased from a Wal-Mart Store in Charlotte, NC two months ago.
ARE THEY ANY GOOD???????
Bert, Charlotte, NC USA
A clear demonstration of a company who has an inconsistent set of consumer values, the penalty is justified when compromising the health of your consumer.
Further ,Cadbury has inconsistent employee values, which also compromises their health and wellbeing.
The 2 leading assets any company holds, customers and employees. Cadbury governance has failed.
P D, Gloucestershire, UK
The whole thing was just astonishing. Cadbury's attitude was so dismissive - a little bit of salmonella won't hurt. How complacent can a blue chip company be before it goes bust or gets taken over and broken up?
Richard, Bexhill, East Sussex
The whole thing was just astonishing. Cadbury's attitude was so dismissive - a little bit of salmonella won't hurt. How complacent can a blue chip company be before it goes bust or gets taken over and broken up?
Richard, Bexhill, East Sussex
I have Cadbury Fruit & Nut bars in my fridge that I purchased from Wal-Mart in Charlotte, NC USA the other month. Are these products safe to eat? Cadbury has been one of my favoerite bars for over 40 years. Use to be in the Theatre Concession bussiness and bought and sold hundreds of thousands of their Milk Chocolate and the Fruit & Nut Bar.
Should I thow these away?
Jay, Charlotte, NC USA