Ahold reaches settlement in fraud court case

Ahold reaches settlement in fraud court case

Ahold will no longer be prosecuted for an American accounting scandal, as it has decided to settle for 297 million dollars (220 million euro).

US Foodservice

Ever since the turn of the century, Ahold has been under continuous attack because of an extensive accounting scandal at its former subsidiary US Foodservice. That company presented a higher turnover than it had actually reached. US Foodservice was sold for 7 billion euro in 2007, but Ahold remained accountable for the court cases.

 

The retailer will pay the settlement by the end of the year or in the beginning of 2015 out of its own cash reserves. Around that time, a final approval of the agreement should be finalized and it should be clear by then whether the involved parties agree to the settlement. "In return, all parties will release their claims in relation to these pricing practices", the company stated in a press release.

 

Former Ahold CEO Cees van der Hoeven lost his job because of this scandal and he has been given a 30,000 euro fine. Former CFO Michiel Meurs received a 6 month suspended jail sentence, 240 hours of community service and a 100,000 euro fine. Former board member Jan Andreae received a 3 month suspended jail sentence and a 50,000 euro fine.

Questions or comments? Please feel free to contact the editors


C&A sells 13 French stores

22/11/2017

Fashion chain C&A will sell thirteen of its 160 French stores. The locations and the staff will all transfer to French fashion chain Chaussea and Stokomani.

Europe and Asia give Guess strong quarter

22/11/2017

American fashion brand Guess’ third quarter turnover grew more than 3 %, mainly thanks to excellent sales in Asia and Europe. It did post a net profit loss however.

Urban Outfitters gets back on track in third quarter

21/11/2017

Following several quarters of negative results, Urban Outfitters’ third quarter was one of growth. Total turnover grew 3.5 % and there was a 1 % like-for-like growth.

Danish fashion platform Miinto is now also available in Belgium

21/11/2017

Danish fashion platform Miinto has launched in Belgium this week. Smaller fashion retailers can sell their products on the platform, combining their strength to withstand larger web shops.

Lubach: “Fair clothing is a matter of priorities”

15/11/2017

Ever since the Rana Plaza disaster, the clothing industry has clamoured for transparency in the clothing manufacturing branch, but Zondag met Lubach’s Arjen Lubach proved on Sunday that there is no actual transparency yet.

Fashion chain Canada Goose opens first European store

14/11/2017

Canadian fashion chain Canada Goose opened its first European store in London. The brand’s clothing has been in Europe for quite some time, but only at multi-brand stores up until now.

Back to top