Chunho Food chief steps down after fake ginseng reports

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Chunho Food chief steps down after fake ginseng reports

Kim Young-sik, chief executive of Chunho Food, stepped down from his post on Friday after a scandal that revealed the company used fake red ginseng in its product.

Kim apologized for disappointing consumers. “I will not assume any position with Chunho Food in the future,” he said.

The health-food company has come under fire for selling fake ginseng products worth 43.3 billion won ($36.4 million).

The company allegedly mixed starch syrup and caramel coloring in its ginseng products. Seven suppliers were indicted.
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