Family Dollar Stores entered a guilty plea on Monday, February 26, to federal charges pertaining to the unhygienic storage of food, medications, and other consumer goods at its West Memphis, Arkansas, distribution plant. The institution was declared “rodent-infested” by the Department of Justice (DOJ). It declared a criminal penalty in the case of $41.675 million, the highest ever levied in a food safety case.
Family Dollar acknowledged storing FDA-regulated goods, such as food, medication, medical equipment, and cosmetics, in “unsanitary conditions” at its West Memphis plant, according to court records that were made public on Monday. As a result, the goods were “adulterated” and no longer suitable for use or consumption. Even though the business was aware of the rodent infestation as early as August 2020, it shipped possibly tainted goods to more than 400 locations across six states until January 2022.
Acting associate A.G. Benjamin C. Mizer noted that customers inherently assume that the food and medications they purchase from stores are hygienic and pure. He declared that if businesses betray this confidence and disregard US consumer protection laws, the Justice Department will hold them responsible.
One misdemeanor count was brought against Family Dollar in the criminal complaint that was filed against the corporation. Family Dollar is required by the plea agreement to put in place and keep up a three-year thorough compliance program. Improved staff training, stricter reporting guidelines, and independent audits are all part of this initiative.
When consumers buy products from retail outlets, they expect safety, according to U.S. Attorney Jonathan D. Ross. He went on to underscore the seriousness of the company’s conduct, emphasizing that it was inconceivable that Family Dollar knew about the infestation of rodents and still went forward with the distribution of potentially harmful products.
In the meantime, the West Memphis facility was discovered to be unhygienic and to be infested with rats and their excrement during the FDA inspection that finally resulted in the recall and criminal charges. Family Dollar extensively recalled merchandise from the impacted stores after the inspection.
However, Dollar Tree Chairman and CEO Rick Dreiling expressed his profound disappointment about the happenings in a statement. He underlined how committed the corporation is to taking quick action on the issue.
