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Tainted dairy in bankruptcy

WORLD BRIEFING / CHINA

December 25, 2008|TIMES WIRE REPORTS

A court has declared bankrupt the dairy at the center of China's tainted-milk scandal, one of the firm's owners said.

A court in Shijiazhuang has issued a bankruptcy order against Sanlu Group Co. in response to a petition from a creditor, according to New Zealand's Fonterra Group, which owns 43% of Sanlu.

The official New China News Agency said the court in Hebei province accepted the filing.

Melamine was found in the products of Sanlu and several other dairies and was linked to the deaths of six babies and illnesses in 294,000 children.

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