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Indictment of Paul Kruse Subject to Legal Challenge

11/27/2020

Before the scheduled trial of Paul Kruse, previously CEO of Blue Bell Creamery begins in June 2021, his defense is claiming in pre-trial motions that the statute of limitations had expired prior to the indictments and the invalidity of the grand jury proceedings.  Kruse stands accused of conspiracy and fraud having had a previous case dismissed in July 2020 on a technicality.

 

The case arises from an outbreak of listeriosis that led to a voluntary recall of all Bluebell products in April 2015 and closure of production facilities in four states. In May 2020, Blue Bell pleaded guilty to various counts of violation of the Federal Food Drug and Cosmetic Act and paid criminal penalties of $17.5 million in addition to $2.1 million to resolve False Claims Act violations.


Paul Kruse

This case is important as it demonstrates that the Department of Justice will indict senior management of companies responsible for foodborne outbreaks if there is evidence of deception, negligence, concealment of laboratory data or knowingly distributing contaminated or adulterated products.  The Parnell brothers are currently in federal prison serving long sentences for their respective roles in the Peanut Corporation of America case.

 

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