Chipotle faces U.S. civil lawsuit over statements on food safety

Reuters News
Posted: Jan 08, 2016 3:10 PM

CHICAGO (Reuters) - Chipotle Mexican Grill <CMG.N>, under scrutiny for months over outbreaks of foodborne illness linked to its restaurants across several U.S. states, was sued on Friday for allegedly misleading investors about its food safety controls.

The burrito chain failed to disclose that its "quality controls were inadequate to safeguard consumer and employee health," according to a civil lawsuit filed in U.S. District Court for the Southern District of New York.

Chipotle's sales and stock price have been battered by the outbreaks of foodborne illnesses linked to the company's restaurants.

(Reporting by Tom Polansek)