Whole Foods to pay $500K to settle overcharging allegations

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NEW YORK  — Whole Foods says it has agreed to pay New York City $500,000 to settle allegations it overcharged customers for prepackaged food.

The city’s Department of Consumer Affairs says the settlement also requires Whole Foods Market Inc. to conduct quarterly audits to ensure products are accurately weighed and labeled.

The city said in June it tested 80 different types of pre-packaged food and found mislabeled weights on every one. It said the overcharging included $4.85 for a package of chicken tenders and $14.84 for coconut shrimp.

A spokesman for Whole Foods said the Austin, Texas, grocery chain already has third-party audits to ensure pricing accuracy.

He said the New York initially asked for $1.5 million, but the company agreed to a $500,000 settlement to “put this issue behind us.”