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COLUMBIA, S.C. - A company that made contaminated pet food that killed dozens of dogs nationwide will pay $3.1 million in a settlement with pet owners, an attorney said Friday.

The pet food, which contained a mold called aflatoxin, was produced at Diamond Pet Foods' plant in South Carolina. The company will set up a fund to reimburse pet owners for the loss of their dog, veterinarian bills and the cost of any unreturned contaminated food, said attorney Jim Andrews, who represented a Knoxville, Tenn., family that sued the company.

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