WASHINGTON – US market regulator Securities & Exchange Commission has slapped penalties of over $16 million on spirits giant Diageo Plc for indulging in corrupt practices in India, Thailand and South Korea to push up sales of its leading brands like Johnnie Walker.
Detailing the practices, SEC said: “In India, from 2003 through mid-2009 Diageo made over $1.7 million in illicit payments to hundreds of Indian government officials responsible for purchasing or authorising the sale of its beverages.”
“Increased sales from these payments yielded more than $11 mn in ill-gotten gains,” it added. Diageo sells brands such as Johnnie Walker whisky and Smirnoff vodka, among others in India.
