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Beyond Meat Criticized for Alleged Problems of Contamination

11/25/2022

A whistleblower, affiliated with the Devault, PA. plant owned and operated by Beyond Meat, provided Bloomberg with documentation confirming unhygienic practices.  From mid-2021 through 2022, 11 of 56 products tested yielded Listeria, a pathogen with a no-tolerance level, imposed by FDA. Photographs purporting to depict extensive mold contamination within the plant and on stored packing material were published.

 

Apparent failure of quality control procedures included contamination with foreign material and cross contamination among products and batches. Release of products with an expired shelf life is also alleged and would be consistent with the quantum and duration of storage of inventory as evident from the most recent quarterly report.

 

The whistleblower allegations if valid, suggests profound deficiencies in quality control related to mismanagement at both the corporate and plant levels. A Company claim that the plant had been inspected by State of Pennsylvania authorities in mid-2022 without demonstrating compliance issues was refuted. Inspectors visited the facility only to resolve an administrative issue.

 

During recent months, Beyond Meat has experienced resignation of senior personnel and has experienced a significant drop in share price associated with extensive losses.