Police have determined that the quality of powdered milk produced by Hanoi-based Holland Milk JSC is 70% lower than advertised.
The Ministry of Public Security's environmental crime prevention and control department said on Monday that the case of alleged manufacturing and trading of counterfeit food products is under investigation, in coordination with Hai Duong province's police.
Authorities allege that the Holland Milk product's ingredients are different from published standards that pose risks to consumers' health.
Most goods are produced at the company's Holland Milk factory in Hai Duong province, but the firm did not store product samples, does not have a separate laboratory, and did not send products for periodic testing, according to authorities.
At the end of August, police discovered about 29,400 boxes that met less than 70% of the criteria stated on the labels.
The total value of goods according to the sales invoices was VND4.1 billion ($173,000), equivalent to the average price of VND150,000 ($6.3) per box. The products are sold through multiple channels, mainly through trade unions, product launches and social networks.