The National Agency for Food and Drug Administration and Control (NAFDAC) has imposed a fine of N1 billion ($5 million) on Guinness Nigeria Plc for alleged re-validating expired raw materials without approval.

NAFDAC also accused Guiness of maintaining poor documentation and not complying with some of its regulations.

Guinness, in a letter Thursday, informed the management of the Nigerian Stock Exchange (NSE) of the fine.

However, in the letter signed by Sesan Sobowale, its company secretary, Guinness said it was still not clear what offence it committed to deserve such a punishment.

“We don’t understand the basis for the computation of the administrative charges nor the particular regulations alleged to have been infringed,” the company lamented.

Guinness said while it waits for clarification from NAFDAC, “we have been advised that there is no legal basis for the demand for the payment of the said sum”.

The company said the alleged regulatory infraction relates, in part, to the destruction of expired raw material without the authority and supervision of NAFDAC.

The company said the allegation, which relates to expired raw material and not to any of its brands, were identified when NAFDAC officers visited one of their rented warehouses used as raw material
store.

Guinness however expressed its commitment towards working with NAFDAC for amicable resolution of the matter.

>>TheStreetReporters.com is your BREAKING NEWS platform. Do you have Breaking news for us?
Call: 08175047979
Or Email Us: newsroom@thestreetreporters.com
Follow Us on Twitter @streetreporters
Join Our Fans on Facebook: facebook.com/thestreetreporters
Visit Our Website: www.TheStreetReporters.com
Post/ Read Breaking News on Our Forum: www.thestreetreporters.com/forum