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Top Executive Admits Involvement in Tomato Controversy

November 04, 2009

Sacramento, California - A former top executive of a major tomato processor has admitted his involvement and said he will plead guilty before a court after four years of conspiracy which involved mislabeling tomato products prone to mold growth and offering bribe to food companies.

Alan Huey, SK Foods’ former senior vice president for sales and marketing, said they had intentionally mislabeled the products which failed to meet the federal food standards, a scheme that allowed them to profit at least 2.5 million between 2004 and 2008.

SK Foods supplies 15 percent of the tomato paste sold in the US market with clients that include food giants Kraft Foods, B&G Foods, and Frito-Lay.

In an interview, federal prosecutor Lawrence Brown who filed the lawsuit against SK Foods said the “conspiracy was to provide low-quality tomato products at inflated prices.”

When asked for comments, SK Foods spokesperson denied the allegation and said the company “did not commit any crime or illegal activity.”

Meanwhile, Randall Rahal, a former sales broker of SK Foods, also pleaded guilty of price fixing, racketeering, and giving bribes to food companies.

Earlier, several top executives of major food companies in the US admitted to receive bribes from Rahal.

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