(Bloomberg) -- A unit of Nestle SA agreed to pay €2 million ($2.2 million) to settle French criminal allegations focusing on its production of natural mineral water.
The deal, which was approved on Tuesday by a judge in Epinal, east of France, brings to an end to two investigations it faced in the region. Under the terms of the agreement reached with local prosecutors, Nestlé Waters Supply Est, or NWSE, makes no admission of guilt.
In addition to the fine, the Nestle unit agreed to a €1.1 million restoration plan and to pay about €500,000 to compensate several associations who had brought a complaint to authorities, according to a statement by Epinal’s prosecutor.
Foodwatch, one of the plaintiff groups behind the cases, criticized the settlement.
“This is a scandalous decision that sends a very bad message about the climate of impunity: Nestlé Waters can deceive consumers for years around the world and get away with it by simply pulling out the checkbook,” Ingrid Kragl, fraud expert at Foodwatch, said in a statement.
Nestle said the agreement notes that there was no harm to public health and that the treatments previously carried out didn’t alter the mineral composition of the waters.
“Since 2023, all NWSE activities respect the current regulatory framework and comply with the latest directives given by the authorities,” the company said.
--With assistance from Dasha Afanasieva.
(Updates with Nestle comment, NGO statement starting in fourth paragraph)
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