Canadian state retail alcohol monopoly the Société des Alcools du Québec has admitted that two ex-vice-presidents were involved in a price-fixing and kickback scheme.

An investigation by accounting firm KPMG found that Laurent Meriaux and Alain Proteau tried to incite some European suppliers to raise wholesale prices to maintain high retail prices and avoid a drop in revenue because of a 14% drop in the value of the Euro. 

The investigation found that the two men did not profit personally from the moves.

The currency fluctuation has resulted in a fall in average retail prices of 8% for some products. In exchange for raising wholesale prices, these suppliers were to give the SAQ a volume price rebate of 2.5%.