Abbott under investigation by SEC and FTC for infant formula business

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Abbott under investigation by SEC and FTC for infant formula business
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Abbott is being investigated by the Securities and Exchange Commission, as well as the Federal Trade Commission, in relation to their infant formula business, the company disclosed in a new SEC filing.

bacteria inside Abbott's Sturgis plant prompted a massive voluntary formula recall last February, after four babies who had consumed Abbott's formula contracted a Cronobacter infection. Two of the infants subsequently died, although Abbott maintains there has not been conclusive evidence that its formula caused the infant illnesses, since none of the Cronobacter strains found at their plant matched the two samples genetically sequenced from the sickened infants.

After inspecting Abbott's Sturgis facility last year, FDA chief Dr. Robert Califf described the "shocking" and "egregiously unsanitary conditions" investigators had found. Abbott's recall ricocheted across American groceries and families' pantries, exacerbating an already mounting supply issue, and forcing families to scramble for what their babies needed for months.

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