Criminal prosecution of Nestlé Waters in the French city of Épinal has been dropped, the public prosecutor's office announced on Wednesday.
Nestlé Waters fulfilled all obligations from an agreement reached with the Épinal public prosecutor's office in 2024, according to the announcement. The Nestlé subsidiary, whose brands include Vittel, Perrier, Contrex, Hépar, and San Pellegrino, entered into a public interest judicial agreement in September 2024. This procedure allows a company to pay a fine in exchange for the cessation of criminal prosecution.
Épinal public prosecutor Frédéric Nahon stated that criminal proceedings against Nestlé Waters were terminated. The company fulfilled all obligations imposed upon it under the agreement, he communicated in a statement on Wednesday. The conditions included the payment of a 2 million euro fine within three months and the compensation of injured parties totaling 516,800 euros.
Additionally, the company was required to implement measures for the restoration and renaturalization of natural areas and water bodies flowing through its operating sites within two years, under the supervision of the French Office for Biodiversity. In late September, the biodiversity office reported that the required measures had been fully implemented.
The agreement resulted from two preliminary investigations. The first concerned unauthorized drillings, while the second involved allegations of deception regarding the use of unauthorized procedures in mineral water treatment. Nestlé admitted to using ultraviolet radiation and activated carbon filters. Further investigations and legal proceedings are ongoing in other regions.
Nestlé's European water business has been considered a challenge for years, and the company sought a new ownership structure starting in late 2024. This week, Nestlé cleared a hurdle in spinning off the water business as the European Commission approved the creation of a joint venture with US private equity firm Platinum Equity. The move aligns with the group's strategy to focus on higher-growth and higher-margin areas such as coffee, pet care, nutrition, culinary products, and snacks.
