Ten defendants representing the Shanghai and Hebei branches of Husi Food Co., a former supplier to McDonald’s, KFC and Pizza Hut, stood trial on charges of producing and selling shoddy products, a court in Shanghai said Wednesday [30 December 2015] after a two-day hearing. On Sept. 30, the ten people as well as the two companies, were prosecuted in Shanghai’s Jiading District…Full Article: Xinhua Dec 2015

Key Point

  • As a result of the investigations following the scandal, six senior Husi Food executives were arrested.

ChinaAg Comments

  • In June 2015, it was reported that OSI Holding had lost approximately US$970 million as a result of the scandal.
  • In January 2015, 1,415 cases of expired OSI meat was destroyed in Shanghai (last of the tainted meat). OSI tainted meat products were destroyed and disposed of in Beijing and Shanghai, as well as in the provinces of Liaoning, Henan, Sichuan and Shandong.
  • In September 2014, the Shanghai Food and Drug Administration notified OSI China that it was fully responsible for the tainted meat produced by Shanghai Husi. In addition, 340 Husi employees and contractors were officially laid off.
  • In August 2014, McDonald’s in Hong Kong stopped selling fresh corn cups, green salad and fresh lemon tea as these items were primarily sourced from OSI processors in Hebei and Gaungzhou. During the same month, KFC announced it would terminate its relationship with OSI.
  • In July 2014, Shanghai Husi, a division of US-based OSI Group LLC, was found to have sold expired meat to McDonald’s, Pizza Hut, Papa John’s, Seven-Eleven and FamilyMart (Japan-based convenience store).

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