DRI visits Pernod Ricard India premises over Scotch whisky import probe
Synopsis
India's Directorate of Revenue Intelligence has visited Pernod Ricard's offices near New Delhi over alleged misclassification of Scotch whisky imports that reportedly benefited from reduced tariffs under the India-UK trade pact — adding fresh regulatory pressure on a company already denied a Delhi liquor licence over the excise scam.
Key Takeaways
Pernod Ricard India confirmed on 22 October 2026 that Directorate of Revenue Intelligence (DRI) officials visited its premises near New Delhi .
Authorities are reportedly examining whether bulk Scotch whisky imports were correctly classified to claim reduced tariffs under the India-UK trade agreement .
Diageo is also named in reports as facing similar scrutiny over Scotch whisky import classifications.
The Delhi High Court earlier dismissed Pernod Ricard's plea for a wholesale liquor licence, finding it ineligible under the Delhi Excise Act due to its 'criminal background' tied to the excise scam.
The company says it is cooperating fully and remains 'confident in its position' .
Pernod Ricard India on Thursday, 22 October 2026, confirmed that officials from the Directorate of Revenue Intelligence (DRI) visited its premises, amid reports of a customs investigation into the classification of bulk Scotch whisky imports and the applicability of duty concessions under the India-UK trade agreement. The company said it is fully cooperating with authorities and has provided all information requested.
What the Company Said
In an official statement, a Pernod Ricard India spokesperson confirmed the visit: 'We confirm that officials from the Directorate of Revenue Intelligence visited our premises. Pernod Ricard India has been fully cooperating with the authorities and providing all information requested.'
The company further stated: 'We remain confident in our position and are committed to addressing any questions from the authorities transparently and constructively, in line with the highest standards of compliance across our operations.'
What Investigators Are Reportedly Examining
According to reports, Indian tax authorities are examining whether liquor companies — including Pernod Ricard and Diageo — correctly classified certain bulk Scotch whisky imports that reportedly benefited from reduced tariffs introduced under the recently concluded India-UK Free Trade Agreement. Officials are said to have visited Pernod Ricard India's headquarters near New Delhi last week, seeking details related to the company's Scotch whisky import records.
This comes amid broader scrutiny of how multinational spirits companies have applied newly negotiated trade concessions — a pattern that regulators have flagged across several sectors since the trade pact's conclusion.
Delhi High Court Background
The DRI visit follows an earlier legal setback for the company. Earlier this year, the Delhi High Court dismissed a plea filed by Pernod Ricard against the denial of a wholesale liquor licence in the capital. Justice Purushaindra Kumar Kaurav ruled that the authorities were justified in rejecting the company's applications for L-1 licences, citing pending prosecution against it in connection with the alleged Delhi excise policy scam.
The court concluded that Pernod Ricard, as of the date of the ruling, carries a 'criminal background' under Section 13(1)(c) of the Delhi Excise Act and is therefore ineligible for the grant of an L-1 licence — a significant finding that has continued to shadow the company's regulatory standing in India.
Broader Implications
The dual pressure — a customs classification probe and a licence rejection linked to the excise scam — places Pernod Ricard India, one of the country's largest spirits companies, under unusual regulatory scrutiny. Notably, the India-UK trade deal's tariff concessions on Scotch whisky were among its most commercially watched provisions, making their correct application a matter of significant revenue interest for Indian customs authorities.
How the DRI investigation concludes could set a precedent for how other importers of Scotch and premium spirits interpret their obligations under the trade pact going forward.
Point of View
At its core, a test of the India-UK trade deal's commercial integrity. When preferential duty concessions are extended, customs authorities inevitably scrutinise whether importers have structured their shipments to maximise the benefit — sometimes beyond the agreement's intent. That both Pernod Ricard and Diageo are reportedly in the frame suggests this may be a sector-wide examination, not a targeted one. For Pernod Ricard specifically, the timing compounds an already troubled regulatory profile in India: the Delhi excise licence denial was not a minor procedural setback but a court finding of criminal ineligibility. Investors and trade partners watching the India-UK FTA's rollout should note that preferential tariff regimes attract enforcement as much as they attract investment.
NationPress
22 Oct 2026
Frequently Asked Questions
Why did DRI officials visit Pernod Ricard India's premises?
The Directorate of Revenue Intelligence visited Pernod Ricard India's headquarters near New Delhi reportedly to examine whether the company correctly classified bulk Scotch whisky imports to claim reduced customs duties under the India-UK Free Trade Agreement. The company confirmed the visit and said it is fully cooperating with authorities.
What is the India-UK trade agreement's relevance to this probe?
The India-UK Free Trade Agreement introduced reduced tariffs on Scotch whisky imports, making their correct classification commercially significant. Authorities are reportedly examining whether companies like Pernod Ricard and Diageo applied these concessions appropriately on bulk imports.
What happened with Pernod Ricard's Delhi liquor licence case?
The Delhi High Court dismissed Pernod Ricard's challenge against the denial of an L-1 wholesale liquor licence, ruling that the company has a 'criminal background' under Section 13(1)(c) of the Delhi Excise Act due to pending prosecution linked to the alleged Delhi excise policy scam. Justice Purushaindra Kumar Kaurav upheld the authorities' decision to reject the licence applications.
Is Pernod Ricard the only company under scrutiny?
No. Reports indicate that Diageo is also among the liquor companies whose Scotch whisky import classifications are being examined by Indian tax authorities, suggesting the probe may extend beyond Pernod Ricard alone.
What is Pernod Ricard India's response to the DRI visit?
Pernod Ricard India said it is fully cooperating with the Directorate of Revenue Intelligence and has provided all information requested. The company added that it remains confident in its position and is committed to engaging with authorities transparently and in line with the highest compliance standards.
