The SEC found that Diageo subsidiaries made improper payments to officials in India, Thailand and South Korea over more than six years, including payments tied to sales and tax benefits. Diageo agreed to pay over $16 million and improve controls, without admitting or denying the findings; it said it cooperated and took remedial steps.
The Securities and Exchange Commission today charged one of the world’s largest producers of premium alcoholic beverages with widespread violations of the Foreign Corrupt Practices Act (FCPA) stemming from more than six years of improper payments to government officials in India, Thailand, and South Korea.
Diageo’s average full-time-equivalent workforce fell by 1,922, or about 6.4%, in fiscal 2026; the reported decline also reflects disposals and a site closure, not layoffs alone. Reuters reported in June that CEO Dave Lewis asked executives to cut jobs and costs, citing the Financial Times. Diageo said it was redesigning its operating model.
June 17 (Reuters) - Johnnie Walker maker Diageo's (DGE.L), opens new tab new boss, Dave Lewis, has asked executives to cut headcount and other costs as he begins restructuring the struggling spirits group, the Financial Times reported on Wednesday.
Diageo’s annual report showed average full-time-equivalent headcount of 27,938 in fiscal 2026, down from 29,860 a year earlier. Reuters reported that most regional reductions were expected to be completed by September 1, potentially increasing the final number affected. Diageo declined to provide Reuters details about the job cuts.
Aug 18 (Reuters) - Diageo's (DGE.L), opens new tab total headcount fell more than 6% year-on-year by the end of June, its annual report showed, as the world's top spirits maker embarks on a restructuring under new CEO Dave Lewis.
The SEC found that Diageo North America employees pressured distributors to buy more product than demand warranted, helping meet sales targets while leaving investors with a misleading impression of customer-driven growth. Diageo agreed, without admitting or denying the findings, to cease and desist and pay a $5 million penalty.
According to the SEC's order, employees at Diageo North America (DNA), Diageo's largest and most profitable subsidiary, pressured distributors to buy products in excess of demand in order to meet internal sales targets in the face of declining market conditions. The resulting increase in shipments enabled Diageo to meet performance targets and to report higher growth in key performance indicators that were closely followed by investors and analysts. The order finds that Diageo failed to disclose the trends that resulted from shipping products in excess of demand, the positive impact the overshipping had on sales and profits, and the negative impact that the unnecessary increase in inventory would have on future growth. The order further finds that investors were instead left with the misleading impression that Diageo and DNA were able to achieve growth in certain key performance indicators through normal customer demand for Diageo's products.
In an April 8, 2022 lawsuit, Eboni Major alleged racial hostility, unequal pay and retaliatory treatment at Diageo, saying she resigned in June 2021 under conditions she called constructive termination. Diageo disputed her allegations, said it investigated her concerns and considered her compensation fair, and described her as a valued employee with senior-level access.
Eboni Major was blending award-winning bourbon at Bulleit but she alleges that just as she was becoming a public face of the brand, she faced discrimination at the distillery.
Eboni Major contends in a lawsuit filed April 8 in New York, that she was discriminated against despite the industry awards her work garnered.Credit...Charity Rachelle for The New York Times
On May 25, 2021, Diageo partnered with industry veterans Dia Simms and Erin Harris to launch Pronghorn as a standalone business, providing a “significant” anchor investment. The initiative plans to support Black entrepreneurship, recruitment and retention, and grow emerging brands through capital investment; its stated goal is to generate $2 billion in U.S. economic value.
Diageo has teamed with industry veterans Dia Simms and Erin Harris to launch Pronghorn, a standalone business that seeks to boost diversity, equity and inclusion (DEI) in the beverage industry, per a press release. The spirits giant will provide a "significant" anchor investment to launch the initiative.
On October 1, 2026, a federal judge dismissed a proposed class action alleging Diageo falsely labeled Casamigos and Don Julio tequila as “100% agave.” The judge said buyers and restaurants had not shown how they were harmed and questioned whether testing five samples supported claims of widespread mislabeling. Plaintiffs’ counsel said they may seek reconsideration.
WASHINGTON, Oct 1 (Reuters) - Diageo (DGE.L), opens new tab has persuaded a federal judge to dismiss a proposed class action alleging the spirits maker duped consumers by falsely labeling its Casamigos and Don Julio tequilas as "100% agave."
A lobbying disclosure lists “tax issues generally” and the Advancing Water Reuse Act (H.R. 2940/S. 4506) as issues, with the U.S. House and Senate identified. Shawn Whyte is named in the section listing lobbyists. The supplied filing excerpt does not specify the company’s position on the legislation.
OpenSecrets lists Diageo PLC as lobbying on seven bills in the 118th Congress, including measures on distilled-spirit tax cover-over, tax relief, pandemic preparedness, farm and food policy, and 2025 agriculture appropriations. The site says each quarterly filing is counted as a separate report; the supplied evidence does not specify Diageo’s position on the bills.
<table id="DataTables_Table_0"> <thead> <tr><th rowspan="1" colspan="1">Bill Number</th><th rowspan="1" colspan="1">Congress</th><th rowspan="1" colspan="1">Title</th><th rowspan="1" colspan="1">No. of Reports & Specific Issues*</th></tr> </thead> <tbody> <tr> <td>S.1477 </td> <td>118</td> <td>A bill to amend the Internal Revenue Code of 1986 to modify the cover over of certain distilled spirits taxes.</td> <td>8</td> </tr><tr> <td>H.R.3146 </td> <td>118</td> <td>To amend the Internal Revenue Code of 1986 to modify the cover over of certain distilled spirits taxes.</td> <td>8</td> </tr><tr> <td>H.R.7024 </td> <td>118</td> <td>Tax Relief for American Families and Workers Act of 2024</td> <td>7</td> </tr><tr> <td>H.R.1425 </td> <td>118</td> <td>No WHO Pandemic Preparedness Treaty Without Senate Approval Act</td> <td>4</td> </tr><tr> <td>H.R.8467 </td> <td>118</td> <td>Farm, Food, and National Security Act of 2024</td> <td>3</td> </tr><tr> <td>H.R.9027 </td> <td>118</td> <td>Agriculture, Rural Development, Food and Drug Administration, and Related Agencies Appropriations Act, 2025</td> <td>2</td> </tr><tr> <td>S.4690 </td> <td>118</td> <td>Agriculture, Rural Development, Food and Drug Administration, and Related Agencies Appropriations Act, 2025</td> <td>2</td> </tr></tbody> <tfoot> <tr><td rowspan="1" colspan="4">*Each quarterly filing is treated as a separate report.</td></tr> </tfoot> </table>
A federal lobbying filing says Diageo plc’s interests were those of its parent company and identifies food and beverage policy issues involving FY2027 agriculture appropriations and the 2026 Farm, Food, and National Security Act. It lists Travis Gibbons, Shawn Whyte and Katie Marisic as lobbyists and names the Senate and House.
Reuters reported on October 19, 2026, that Indian officials were investigating whether Diageo and Pernod Ricard wrongly classified some bulk Scotch imports to obtain lower tariffs under the India-UK trade pact. Sources said United Spirits offices were searched; Diageo said it was cooperating, had supplied documents and clarifications, and had always followed local law. No outcome was reported.
NEW DELHI, Oct 19 (Reuters) - Indian tax officials are investigating whether liquor giants Pernod Ricard (PERP.PA), opens new tab and Diageo (DGE.L), opens new tab wrongly classified some bulk Scotch imports, allowing them to pay lower tariffs introduced under the recently agreed India-UK trade pact, five industry sources familiar with the matter said.
The Human Rights Campaign’s 2025 Corporate Equality Index report names Diageo North America among companies with top scores on two of its corporate equality measures. The report describes criteria covering LGBTQ+ workplace protections, inclusive benefits, workplace culture and corporate social responsibility; the supplied excerpt does not give Diageo North America’s individual score or specify which measures it met.
A federal lobbying filing identifies Diageo plc’s parent-company interests in food and beverage policy, including industrial hemp definitions and legalization in the 2018 Farm Bill reauthorization, as well as provisions in FY2027 agriculture appropriations and the 2026 Farm, Food, and National Security Act. The filing names Travis Gibbons, Shawn Whyte and Marisic as lobbyists.
A federal lobbying filing lists Diageo’s work on general international trade and tariff issues, specifically the Duty Drawback Clarification Act (H.R. 3028/S. 952). The filing identifies the U.S. Senate and House and names Shawn Whyte among lobbyists; the supplied evidence does not state the company’s position on the bill.
General issues related to international trade and tariffs.
The FEC lists Diageo North America, Inc. Employees’ Political Participation Committee as an active qualified corporate PAC. For Jan. 1, 2025–Oct. 14, 2026, it reported $85,736.24 in receipts, all listed as individual contributions, and $123,375.24 in disbursements, including $105,883.42 to other committees and no independent expenditures.
OpenSecrets reports Diageo PLC-related contributions in federal election cycles from 1990 through 2024. In 2024, it lists $212,385 total, with 81.71% attributed to Democrats and 18.29% to Republicans. The site says its figures reflect reported contributions and that party percentages exclude independent expenditures and electioneering communications.
At an Advertising Week New York session reported Oct. 9, 2024, Diageo vice president Joshua Nafman said the company had increased AI investment to improve targeting, data efficiency and marketing returns, while navigating alcohol-advertising restrictions. He acknowledged earlier mistakes and cost concerns; the report also describes AI-assisted targeting and a Johnnie Walker consumer activation.
NEW YORK — Diageo has significantly increased its investments in artificial intelligence (AI) for precision marketing, which has helped the company navigate challenges around regulation and generating return on investment (ROI), an executive said during an Advertising Week New York session on Tuesday. In addition to detailing the alcohol giant’s AI investments, panelists discussed how data and AI are closely related.