Australian fast food giant Sonic fast food deals with SFO inquiry

The head of the world’s biggest fast food chain says it will deal with a $1.8 billion SFO investigation into the food giant’s $11 billion takeover of the Australian fast-food giant Sonic Fast Food.

Sonic is accused of breaching the Food Safety and Standards Authority of Australia’s food safety rules by not properly checking the safety of the food it was buying from the company.

A SFO investigator told the Federal Court that it was not aware that Sonic was importing food from Australia before the takeover.

The SFO said it had been investigating Sonic for several months, and it was satisfied with the findings.

“Sonic will now be in compliance with its food safety obligations in Australia,” the company said in a statement.

Food Safety Minister David Carter said he was pleased that Sonic had accepted the SFO’s investigation.

Mr Carter said Sonic would continue to supply food to the Australian market.

“I’m delighted Sonic has accepted the inquiry into its food supply to Australia,” he said.

He said the company had already made substantial progress in meeting its obligations under Australian food safety regulations.

Federal Treasurer Scott Morrison said he hoped Sonic would “make good on its commitments”.

“If Sonic does not make good on those commitments it is likely that the company will face substantial costs and a potential criminal investigation,” he told Sky News.

Meanwhile, Sonic is facing a criminal investigation by the Federal Bureau of Investigation.

Earlier this week, the ABC revealed that the FBI was investigating whether Sonic broke its food food safety laws by not checking with the Food and Drug Administration (FDA) about the safety and quality of Sonic’s imports.

Topics:food-safety,corporate-governance,federal-government,law-crime-and-justice,coronavirus-and,business-economics-and_finance,consumer-protection,consumer,health-policy,industry,health,food-and‑beverage,food,fast-food,australiaFirst posted January 20, 2021 16:57:13Contact Sam McNeilMore stories from New South Wales