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pau428736 : Chinese dairy giants in scandal chaos

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  • Chinese dairy giants in scandal chaos (2010-10-21)
  • A highly publicized incident about milk products that caused baby girls to develop breasts may have been a smear campaign by a competitor. Mengniu Dairy Co, the largest dairy company in the country by market value, on Wednesday (20 October 2010) denied rumors that it was assisted by a public relations company in plotting online attacks against its competitors, the Yili Group and Synutra International. Rumors are now circulating that Mengniu made up a story that spread online in July, which claimed Yilis infant formula contained fish oil that could lead to premature sexual development. Mengniu also allegedly plotted a public relations campaign to create a milk powder scandal, in which Synutra products were reported to have caused baby girls to develop breasts. Two members of management at Mengniu and members of staff at its partner BossePR have been detained, according to the rumors. Mengniu never planned or participated in any activity related to the Synutra case, Mengniu said in a statement sent to China Daily on Wednesday. We have reported the case to the police and any individual or organization who made up and released the false information will be held legally responsible, the statement read. But a police officer at Hohhot public security bureau in Inner Mongolia autonomous region, where Mengniu and Yili are based, has confirmed that a Mengniu executive has been detained, according to reports. Yili also insisted that its reputation has been tarnished by competitors.    Photo by Imaginechina
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