June 11, 2020

Tyson Foods cooperates with US justice department in price-fixing probe

Tyson Foods Inc was cooperating with the US Department of Justice (DoJ) on a price-fixing investigation in the poultry sector, under a corporate leniency programme, the company said on Wednesday, Reuters reported.

Tyson, which was served with a subpoena in April 2019, said the formal grant under DoJ's programme would mean neither the company nor its employees will face criminal fines, jail time or prosecution.

The news comes a week after the chief executive of poultry company Pilgrim's Pride Corp was indicted along with three other current and former industry executives on charges of seeking to fix chicken prices in the US.

The charges were the first in a criminal probe of price-fixing and bid-rigging involving broiler birds, which account for most chicken meat sold in the US.

Grocers, retailers and consumers have accused Pilgrim's Pride, Tyson Foods and other poultry processors of conspiring since 2008 to inflate prices for broiler chickens.