According to Snopes, while the mulch does contain theobromine, there is only one confirmed case of a dog having died after consuming it. So I wouldn't buy it for a dog's yard, but the panic and all the caps seem a little excessive. Have their import license suspended over something one dog died after consuming? Guess we'd better be talking to a lot of companies...

http://www.snopes.com/critters/crusader/cocoamulch.asp