TAIPEI (Taiwan News) — Two Taiwanese companies have been charged with defrauding customers by falsely labeling olive oil mixed with canola oil as “100% pure olive oil.”
Rongqi International and Yuanle International were investigated by the Criminal Investigation Bureau for mixing imported olive oil with low-cost canola oil, which was branded as 100% pure, Italian “Menzteler” olive oil, reported UDN. Authorities estimate they sold around 120,000 bottles of the mixed oil, and generated illegal profits of approximately NT$15 million (US$476,000).
The owner of Rongqi International, Huang Yue-hsueh (黃月雪), and the owner of Yuanle International, Li Shang-rong (李尚融) were arrested and interrogated by Chiayi District Prosecutors earlier this week. They were both released on bail for NT$800,000 (US$25,400).
The investigation discovered that the companies worked together to import genuine Menzteler olive oil from Italy. At a warehouse in New Taipei’s Shenkeng District, they mixed it with cheap canola oil to maximize profits.
The rebottled mixture was then sold to restaurant wholesale suppliers as well as a company producing handmade soap. After receiving a tip from Chiayi that the product was not genuine, prosecutors formed a task force with the Food and Drug Administration as well as Taipei and New Taipei health departments to investigate the companies.
After obtaining warrants for the company offices, warehouses, and homes of the owners, investigators seized 130 boxes containing 780 bottles of the falsely labeled products. Two company employees were also arrested and released on bail of NT$200,000 (US$6,300) after cooperating with investigators, per UDN.
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