The rotten ham scandal in Spain is starting to unveil its ugly face

Hygiene & Biosecurity

Companies involved in the scheme are caught off with a high level of debts to their suppliers and new details are revealed.

Posted on Nov 28 ,07:11

The rotten ham scandal in Spain is starting to unveil its ugly face

The companies involved in the judicial investigation by a business network that sells hams in poor condition begin to delay payments to their suppliers. And the suppliers have set off the alarms. The businessmen involved now study the extreme of lowering the blind.

The providers of the companies involved in the plot begin to suffer difficulties to collect the debts. The company investigated for being the center of the plot, Valle de Los Valfríos, already accumulates almost 350,000 euros of defaults to financial institutions for discount lines and personal loans, according to Economia Digital website.
Valle de Los Valfríos, which manages a business network that sells hams, meat products, and sausages in poor condition in half Spain, began to assume debts since July, a month after the scandal of the business plot broke out, today investigated by the courts and those responsible must declare in the courts of Fregenal de la Sierra (Badajoz) the next 5 and 20 December for an alleged crime against public health.
One in four non-payment has already triggered a judicial process, according to information from the Experian Bureau Empresarial, which details defaults to financial institutions. "It has breached its contractual obligations with financial entities and companies of diverse nature. 100.00% of the unpaid balance corresponds to contracts with the financial system," the report states.
Another of the companies of the plot, Sierra Jarota, has also begun to show symptoms of financial irregularities, although the bank claims, for now, a much smaller amount: about 22,000 euros.
But some suppliers claim that the company has begun to delay payments also to some of its meat suppliers.
Defaults in the companies involved in this scheme have even reached Comapa, the leader in the distribution of Iberian products in Spain and Carrefour's reference supplier. The scandal is affecting the Iberian Ham (Jamon Iberico) that was sold to the consumers with dates about to expire surpass the date of preferential consumption in supermarkets. They were later relabelled to be sold as fresh. In the case of products in poor condition, they were "cleaned" and "cleaned" by eliminating the damaged parts, according to prosecutors investigating this case.

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