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Cheng I, Ting Hsin Oil & Fat suspend operations amid scandal

2014/10/11 19:10:07

Taipei, Oct. 11 (CNA) Ting Hsin Oil & Fat Industrial Co. and Cheng I Food Co., the two oil makers at the center of a food scandal will be closed until consumers regain their confidence in their products, said Wei Yin-chun, the former chairman of the two companies, at a news conference Saturday.

Wei said he will hire experts to examine the two companies' food safety procedures and stressed that if the problem cannot be resolved, he will consider closing the companies down.

He also apologized to the public, employees, shareholders and the government over the food safety lapses, which he said have threatened the survival of the Ting Hsin Group.

Wei resigned from his posts at Ting Hsin Oil & Fat and Cheng I as well as his position as chairman of Wei Chuan Foods Corp. on Thursday, after Cheng I was found to have sold lard mixed with oil meant for animal feed, affecting hundreds of downstream food makers.

The oil was also used by Wei Chuan in its food products.

The business group got into more trouble Friday when it was discovered that lard and beef tallow imported by Ting Hsin Oil & Fat from Vietnam and used in its edible oil products was also meant for animal feed and not for human consumption.

It was the third oil-related scandal to hit the conglomerate within a year.

Last month, some food products by Wei Chuan had to be recalled after they were found to have been made with oil recycled from kitchen waste supplied by an unaffiliated company, Chang Guann Co.

In November 2013, some edible oil products marketed as "pure" by Wei Chuan were found to have been adulterated with low-cost oils.

Many education and consumer groups as well as local governments have joined a campaign to boycott Ting Hsin and Wei Chuan products in the wake of the latest incident.

(By Han Ting-ting and Y.F. Low)

Related stories:
●Oct. 11: Cheng I, Ting Hsin could be stripped of business permits: premier
●Oct. 11: Boycott of Ting Hsin products gains further momentum
●Oct. 10: Food giant facing unprecedented crisis in oil scandal