Earth Eats: Real Food, Green Living

Sodexo Fined $20M For School Meal Fraud

Food service giant Sodexo settled with the state of New York over complaints that it had been overcharging public schools for five years.

Hundred-dollar bills

Photo: Refracted Moments™ (flickr)

Officials were tipped off thanks to the New York False Claims Act, which gives whistleblowers protection when speaking out against unlawful practices.

Food service giant Sodexo settled with the state of New York over complaints that it had been overcharging public schools for five years.

New York Attorney General Andrew Cuomo announced on Wednesday that Sodexo is to pay $20 million for pocketing rebates from food manufacturers. The rebates belonged to the state school system and Sodexo will pay the fine directly to 21 New York public school districts and the State University of New York.

The settlement is just part of an ongoing industry-wide investigation.

Read more:

  • Food services giant Sodexo pays $20 million to settle claim it overcharged NY schools (The Buffalo News)
  • Sodexo to pay New York $20 million for school-meal rebate fraud (Grist)

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Megan Meyer

Megan Meyer was in the company of foodies for most of her formative years. She spent all of her teens working at her town's natural food co-op in South Dakota, and later when she moved to Minneapolis, worked as a produce maven for the nation's longest running collectively-managed food co-op. In 2006, she had the distinct pleasure (and pain) of participating the vendanges, or grape harvest, in the Beaujolais terroire of France, where she developed her compulsion to snip off grape clusters wherever they may hang. In the spring of 2008, Megan interned on NPR's Science Desk in Washington, D.C., where she aided in the coverage of science, health and food policy stories. She joined Indiana Public Media in June, 2009.

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