The Stuart hotel in Derby has been fined £12,000 for breaches of hygiene regulations during a hearing before magistrates.
The court in Derby heard that a snap inspection by environmental health officers uncovered serious breaches of the hygiene regulations.
The inspectors found filthy conditions in kitchens and food packets in store well past their use by dates.
Evidence was also given that there was poor supervision and training of staff.
In mitigation it was said that the problems at the hotel had now been resolved and that hygiene standards had been upgraded.
Tim Shock, defending for the company, said the hotel was owned by a family who did not live in Derby and who had appointed a manager to run it.
Mr Shock said: "They had never been in trouble before. This is completely outside their experience of 30 years in the hotel business where they have had no problems at all. This has come as a massive shock."
After the case Julian De Mowbray, trading standards manager for Derby City Council, said: "We had substantial concern about the potential for food poisoning."
By court reporter