Sodexo Statement Regarding New York State Attorney General Investigation
July 21, 2010
After an investigation conducted by the New York State Office of the Attorney General of companies in the foodservice industry regarding contract issues, Sodexo has reached a resolution.
GAITHERSBURG, Md., July 21, 2010 — Sodexo worked closely with the Attorney General on the investigation, including conducting its own parallel investigation and providing those findings to the Attorney General.
One issue raised was that due to an error in how an account was administered, Sodexo inadvertently operated three private school accounts outside of its compliance requirements for school lunch programs. Sodexo has now taken measures to ensure that all schools that participate in school lunch programs are fully compliant with the applicable regulations. The resolution also addressed a Sodexo university account that had unique contract issues.
As indicated in the agreement, Sodexo fully cooperated with the Attorney General’s investigation. Sodexo was the first to complete this investigation, which includes other companies in the foodservice industry.
Sodexo agreed to pay a total of $20 million to the state of New York. This completes the Attorney General's investigation of Sodexo. This settlement releases Sodexo of all claims that were investigated.
Sodexo remains committed to ethical business practices and maintaining strong relationships with its clients. Sodexo is proud of our track record of corporate responsibility and contribution to the U.S. economy. Sodexo operates in partnership with more than six thousand clients with a client retention rate of more than 95 percent, providing jobs and opportunities for more than 120,000 employees throughout the United States.
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