Shampoo boss accuses her rivals
By Li Xinran |
August 2, 2010, Monday
|
Print Edition
Print Edition
THE maker of BaWang herbal shampoo products says the accusations that some of its products contained a substance that may cause cancer were likely spread by business rivals.
Wan Yuhua, chief executive officer of BaWang International (Group) Holding Ltd, burst into tears at a press briefing in southern Guangzhou City on Saturday, saying: "How tough it is to carry on a business in China."
She promised to make full compensation and withdraw all BaWang products if state authorities confirmed there were any problems.
Hong Kong-based Next Magazine reported on July 13 that three types of herbal shampoo products from BaWang were found to contain dioxane, citing results from SGS Hong Kong, a testing and inspection company.
Tests by SGS showed one bottle of BaWang's herbal shampoo contained 27 parts per million of dioxane, while the upper limit set by the United States Food and Drug Administration is 20ppm.
The Hong Kong-listed shampoo manufacturer halted trading the next day after a record fall in its shares.
But China's food and drug watchdog issued a statement three days later saying BaWang products, advertised by kung fu star Jackie Chan, were safe to use.
The State Food and Drug Administration said tests showed the levels of 1,4-dioxane posed no danger to users.
It said amounts of dioxane below 100 ppm were safe according to internationally agreed standards, but did not specify the volume in the BaWang shampoos.
Wan also said an incident at the Shanghai office of the National Business News last Friday was being investigated.
A man identified as Hong, the manager of the company's Shanghai subsidiary, and three other men are said to argue with staff at the newspaper about a series of reports about the company and its products and blocked the door.
One of the stories involved questions over why BaWang Chairman Chen Qiyuan is bald if claims for some of their products, to promote hair growth, were true. After verbal arguments had developed into pushing and shoving, police were called.
Wan Yuhua, chief executive officer of BaWang International (Group) Holding Ltd, burst into tears at a press briefing in southern Guangzhou City on Saturday, saying: "How tough it is to carry on a business in China."
She promised to make full compensation and withdraw all BaWang products if state authorities confirmed there were any problems.
Hong Kong-based Next Magazine reported on July 13 that three types of herbal shampoo products from BaWang were found to contain dioxane, citing results from SGS Hong Kong, a testing and inspection company.
Tests by SGS showed one bottle of BaWang's herbal shampoo contained 27 parts per million of dioxane, while the upper limit set by the United States Food and Drug Administration is 20ppm.
The Hong Kong-listed shampoo manufacturer halted trading the next day after a record fall in its shares.
But China's food and drug watchdog issued a statement three days later saying BaWang products, advertised by kung fu star Jackie Chan, were safe to use.
The State Food and Drug Administration said tests showed the levels of 1,4-dioxane posed no danger to users.
It said amounts of dioxane below 100 ppm were safe according to internationally agreed standards, but did not specify the volume in the BaWang shampoos.
Wan also said an incident at the Shanghai office of the National Business News last Friday was being investigated.
A man identified as Hong, the manager of the company's Shanghai subsidiary, and three other men are said to argue with staff at the newspaper about a series of reports about the company and its products and blocked the door.
One of the stories involved questions over why BaWang Chairman Chen Qiyuan is bald if claims for some of their products, to promote hair growth, were true. After verbal arguments had developed into pushing and shoving, police were called.
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