$25m payout over toxic soy milk

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Hundreds of people claim they became sick after drinking soy milk.

Hundreds of people claim they became sick after drinking soy milk. Source: Supplied

HUNDREDS of people who claim they were poisoned by toxic soy milk are set to share in a $25 million compensation payout.

The proposed settlement is the biggest in Australian food safety class action history, lawyers say.

Almost 500 victims claim they got sick after drinking Bonsoy, which allegedly contained dangerously high iodine levels.

“Some people have had to have their thyroid surgically removed and will be on hormone replacement therapy for the rest of their lives,” Maurice Blackburn principal Jacob Varghese said.

“A couple of women had miscarriages, and people with underlying thyroid disease suffered exacerbated symptoms such as extruded eyeballs and heart palpitations.

“Others experienced lethargy and anxiety. While most have made substantial recoveries, some have long-lasting problems.”

A single glass of the milk, which was enriched with a seaweed extract, allegedly contained 50 times the recommended daily dose of iodine. It is alleged this interfered with function of the thyroid, the gland responsible for hormones that control body metabolism.

Under a negotiated deal, Australian distributor and brand owner Spiral Foods, and Japanese companies Muso and Marusan-Ai Co, will pay compensation without admitting liability.

The popular imported product was voluntarily recalled in late 2009 and replaced with a reformulation.

Those involved in the four-year class action, including 280 Victorians, consumed the drink during 2004 to 2009.

The proposed settlement was struck ahead of a planned trial. It will today be presented to the Supreme Court of Victoria.

If approved, compensation is expected to flow within six to 12 months. Maurice Blackburn’s fee, to be drawn from the settlement, is being assessed.

Lead plaintiff Erin Downie, 33, of the Dandenong Ranges, said health problems had ruined her life and she was relieved the long-running legal fight was over.

“No amount of money is going to give me back what has been stolen but it’s a relief, for me it was about justice,” she said.

The lactose-intolerant woman said she drank Bonsoy while pregnant and upped her intake when breastfeeding daughter Mirakye, now 6.

Within weeks of the birth, she said her hair started falling out, her gums bled, and she could barely lift her baby.

She was twice hospitalised, and said she still battles chronic fatigue and an auto-immune disease.

karen.collier@news.com.au

Twitter: @KarenCollierHS

Originally published as $25m payout over toxic soy milk