October 4, 2014

Cargill awarded US$9 million over supply of E.coli-tainted beef

Cargill Meat Solutions Corp. has been awarded US$9 million by a US District jury following successful lawsuit against its supplier, Greater Omaha Packing Co., for delivering E. coli-tainted beef.

In 2011, the company sued Greater Omaha, accusing the packing company of supplying beef contaminated with E. coli which affected dozens of people in 2007.

Cargill used the beef to make ground beef patties which were eventually recalled, leading to the withdrawal of about 845,000 pounds of product. The company had also settled numerous claims from affected parties.

Cargill said that its subsequent investigation into the source of the outbreak traced the pathogen back to Greater Omaha's products.

In a statement, Greater Omaha Packing said it was disappointed in the verdict and pointed out that it was one of multiple suppliers whose product was part of Cargill's finished ground beef product.