FDBusiness.com

Diageo to Pay $16 Million to Settle Bribery Lawsuit

 Breaking News
  • Year of Considerable Progress For Dairy Crest Dairy Crest, the UK dairy group, increased revenue by 10% to £456.8 million and adjusted profit before tax increased by 2.8% to £62.3 million for the year ended 31 March 2018, compared with the previous year. Dairy Crest’s Cheese & Functional Ingredients business increased revenue by 8.8% to £277.2 million while revenue at the Butters, [...]...
  • Edrington Unveils the New Home of The Macallan Edrington, the international premium spirits company, has revealed the new distillery and visitor experience for The Macallan brand. The new distillery and visitor experience is located on the stunning Easter Elchies estate in Scotland, which has been home to the leading luxury single malt since 1824. From humble beginnings, the brand has risen to become [...]...
  • Nestlé Strengthens its Research Capabilities in Switzerland Nestlé has announced changes that further strengthen its research and development operations, the largest of any food company worldwide. Nestlé will bring together its two scientific discovery units, the Nestlé Research Center and the Nestlé Institute of Health Sciences, to build one impactful organization, Nestlé Research. The combination of two world-renowned research facilities with highly [...]...
  • Algaia Receives €4 Million Boost Algaia, will accelerate development and install a new specialty seaweed extract production unit at its Lannilis (Brittany-France) manufacturing facility dedicated to specialty algae extracts. The company’s main shareholder, Maabarot Products, has injected an additional €4 million in equity to support further expansion of the production facility and innovation center located in Saint-Lo (Normandy-France). Algaia works with local [...]...
  • Smarter Factories – Safer Working In food produce environments and packhouses, the benefits of automation when it comes to workforce health and safety are uncontended. From eliminating arduous and repetitive tasks to working uninterrupted within inhospitable chilled settings, robots are most certainly the future. Case loading specialist Brillopak and industrial automation pioneer Omron explore how smart robots, hardware and software can [...]...

Diageo to Pay $16 Million to Settle Bribery Lawsuit

Diageo to Pay $16 Million to Settle Bribery Lawsuit
July 28
10:38 2011

Diageo has agreed to pay $16m to settle an investigation by the US Securities and Exchange Commission (SEC) into bribery allegations in South Korea, India and Thailand. The SEC claims that Diageo’s subsidiaries in India, South Korea and Thailand paid more than $2.7 million in bribes from 2003 to 2009 in order to gain sales and tax benefits. Diageo made about $11m in profits from these actions, according to the SEC.

“For years, Diageo’s subsidiaries made hundreds of illicit payments to foreign government officials,” explains Scott Friestad, associate director in the SEC’s enforcement division. “As a result of Diageo’s lax oversight and deficient controls, the subsidiaries routinely used third parties, inflated invoices, and other deceptive devices to disguise the true nature of the payments.”

Diageo has agreed to settle the Foreign Corrupt Practices Act (FCPA) lawsuit without admitting or denying wrongdoing.

Under the settlement Diageo will pay $13.4m to the SEC in disgorgement of profits and pre-judgment interest, plus a $3m penalty to the SEC. Diageo has also agreed to cease and desist from committing any further violations of the books and records and internal controls provisions of the FCPA.

Diageo says it takes the SEC’s findings seriously and regrets the matter. The global drinks group says that its systems and controls have been enhanced in an effort to prevent the future occurrence of such issues and to reinforce, everywhere the company operates, a culture of compliance and commitment to the principles embodied in Diageo’s Code of Business Conduct.

About Author

colin

colin

Related Articles



Food & Drink Business Conference & Exhibition 2016

Upcoming Events

  • June 1, 2018Gluten Free Expo Slovakia
  • June 3, 2018Vinoble
  • June 4, 20188th WSO World Congress on Stevia Tasteful 2018
  • June 17, 2018The Excellence of Italian Food and Wine (Bellavita Expo)
AEC v1.0.4

find food jobs

The Magazine

F&D Business Preferred Suppliers

New Subscriber





Subscribe Here



Advertisements