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Sanlu confirms bankruptcy filing

(Xinhua)
Updated: 2008-12-24 18:24

Sanlu Group, the center of a melamine adulteration milk scandal that killed at least six babies and sickened 290,000 others, confirmed on Wednesday that it had filed for bankruptcy.

Related readings:  Tainted milk scandal company declared bankrupt  Sanlu urged to 'do the right thing'  Dairy makers scramble to buy Sanlu's assets  Melamine scandal costs major dairy maker millions

The Intermediate People's Court of Shijiazhuang City, where the company is headquartered, notified the company that it will accept the bankruptcy petition, said a Sanlu spokesman, who declined to say when the filing was made.

No other details are available.

When contacted by Xinhua, the court refused to comment.

Sanlu products were found to contain melamine, which was being used to increase the apparent protein content in milk. The use of the industrial chemical is restricted in food.

Children can develop kidney stones after drinking such milk.

The scandal surfaced in September. The Ministry of Health said last month that 1,272 infants nationwide were still being treated for kidney disorders caused by the milk.

The Shijiazhuang city government is said to have set up a restructuring team headed by a vice mayor to negotiate with major players interested in buying Sanlu, including Wandashan and Sanyuan.

Sanlu is one of the largest companies in Shijiazhuang, employing almost 10,000 people.