Bashas' Admits to Overcharging Customers for Meat by Mislabeling Products

Categories: News

BashasExterior1.jpg
Kevin O.
Bashas' operates more than 130 grocery stores in Arizona, California, and New Mexico.
While most of us spent the Labor Day weekend relaxing, Bashas', the Arizona-owned grocery store chain with more than 130 locations in Arizona, California, and New Mexico, was doing some serious explaining.

The company, which also operates AJ's Fine Foods and Food City, has admitted to mislabeling meat and overcharging its customers for it.

See also: Phoenix Fast-Food Workers Join Nationwide Strike

On Friday, the Republic reports, Bashas' admitted to overcharging customers by mislabeling steaks and beef at some of its AJ's Fine Foods stores in Phoenix and Tucson, selling steaks for $10 more per pound by changing the grade of meat and generating almost $1.5 million in company sales between January 2010 and February 2012.

The Republic goes on to say that the U.S. Attorney's Office in Arizona has entered into a "non-prosecution agreement with the company because of its cooperation with investigators" and that Bashas' has agreed to pay $1,472,487 to food banks in Tucson and Phoenix as a form of restitution, given that identifying the overcharged customers would have been too difficult.

In the "why I did it" category, the Republic reports, investigators said that several AJ's managers admitted to mislabeling meat for a variety of reasons, including: adherence to profit margins, because the AJ's distribution center ran out of "prime" tenderloins, and, in some instances, because they felt, according to court documents, "entitled to 'upgrade' the tenderloins because they disagreed with the initial 'choice' grade assigned by the USDA."

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17 comments
mrh0202201091
mrh0202201091

I THOUGHT MY TACOS TASTED DIFFERENT......I WANT MY MONEY BACK.....

ExpertShot
ExpertShot topcommenter

It's funny that the New Times usually references past stories on related issues in their online articles.  In this case the Editor did not chose to post the related ass-kissing stories they wrote on this crook!  New Times should be ashamed THEY did not break this story a long time ago and that they provided positive PR for Bashas in their coverage of him and his company. 

Here New Times, recover your journalistic standards and post links to all the feel good stories you published on the Bashas' company over the years - you provided PR coverage for a CROOK!!!

http://blogs.phoenixnewtimes.com/bella/2013/03/eddie_basha_grocery_arizona_phoenix_dies_75.php#Comments

Cozz
Cozz topcommenter

So they buy their way out of prosecution...must be nice.

jliven23
jliven23

I'm no meat expert but the prime tenderloins at AJs (44th and Camelback) are very inconsistent....to the point I had previously wondered if they were labeling choice cuts as prime.

valleynative
valleynative topcommenter

@ExpertShot  

Eddie Basha had nothing to do with this.   The crime was committed by store managers in order to scam Basha into believing they were making their expected profits.

valleynative
valleynative topcommenter

@Cozz  

one and half million dollars.

Sure, we should all be given that option, genius.

 

logicman
logicman

@jliven23 I've also noticed that and have had much better luck at Safeway

Chris
Chris

@jliven23 Agreed. Some times you'd see prime that showed no marbling at all, while other times you'd see choice that looked like prime. I know grading meat isn't an exact science but the variations were significant. The last few times I've been in to that store (probably since this settlement) they are not offering prime on a few cuts. 

Cozz
Cozz topcommenter

@valleynative

When you defrauded probably twice as much than what is reported in sales, its no big deal Genius.

valleynative
valleynative topcommenter

@ExpertShot

Interesting that you think "personal responsibility" means "it's the boss's fault".

Talk about your nutbags.

ExpertShot
ExpertShot topcommenter

@Cozz@valleynative

ValleyNative must not be a conservative - no self-respecting conservative would argue that the buck doesn't stop with the top management of a company. 
Personal Responsibility is what it's all about RIGHT!?!  Now, however, the buck stops at food banks in Tucson and Phoenix.  Bashas is an anti-union crook and attracts right-wing nutbags who are liars and crooks!  A business owner doesn't get millions of dollars over budget profit figures and not know where it's coming from - I can imagine the board meetings and bonuses paid to employees who came up with this charade!

Luckily it was the rich that got screwed on this - ironic how the rich getting screwed has helped the poor.  Talk about a transfer of wealth!

valleynative
valleynative topcommenter

@Cozz  

No, genius, that's not how it works with a limited liability corporation.  Nobody goes to prison unless there is an individual identified, and if they wanted to prosecute the individuals, they wouldn't have gotten this settlement.

Save your outrage for somebody who isn't paying more than you would earn in 5 lifetimes to feed people.

Cozz
Cozz topcommenter

@valleynative

...and how many people have gone to prison and had to pay the restoration anyway ?

They got away with it prosecution wise because of who the Basha's are in Arizona and the money they donate to campaigns.

valleynative
valleynative topcommenter

@Cozz  

Give it up.  This is the amount the judge decided was fair, which would at LEAST equal the estimated amount of illegal profit.

Would you really rather see somebody go to prison, costing the taxpayers money, rather than having them pay to feed people?

 

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