Pernod Ricard has refused to be drawn on reports the French spirits major has fired staff in Rajasthan following an internal investigation into alleged discounting malpractices.
The company has reportedly sacked at least six of its staff amid an internal probe into alleged discounting malpractice, two unnamed sources close to the matter told the global news agency Reuters today (11 December).
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The two sources and a third industry executive with an understanding of the situation told the publication the probe had come about following a whistleblower complaint in 2023.
It was alleged some employees in Pernod Ricard’s sales and commercial units in Rajasthan were using business funds intended to be used to offer trade discounts to retailers.
The Altos Tequila owner said it did “not want to comment on any specific allegations or rumours raised in the press”.
It added: “As a responsible company, we demand from our employees the highest standards of integrity, in line with applicable laws and our Code of Business Conduct, which goes beyond legal requirements to ensure Ethics & Compliance.
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By GlobalData“If and when we identify individual behaviors that do not comply with it, we do not hesitate to take the appropriate and commensurate disciplinary actions.”
The story follows on from reports earlier this month, also from Reuters, that three Pernod Ricard executives were alleged to have violated the now defunct Delhi Excise Policy.
In a statement, the Beefeater distiller denied the allegations at the time. It added: “Further, we deny any inconsistency in our stand. We have always maintained that there has been no wrongdoing by our employees.”
The report was put together by an Indian law firm Shardul Amarchand Mangaldas, which was appointed by Pernod to carry out an internal investigation, said Reuters.
Three executives are said to “have acted in violation of DEP”, including Rajesh Mishra, former chief operating officer at Pernod Ricard’s India business.
