Coca-Cola revealed last week that a federal prosecutor has begun investigating accusations by a former employee that the soda pop giant had tampered with a promotion.
In a one-paragraph statement, Atlanta-based Coca-Cola said that the United States Attorney’s Office for the Northern District of Georgia has launched an investigation and that “the company will cooperate with the inquiry.”
The announcement comes shortly after the Securities and Exchange Commission made an informal request for documents related to the accusations made by the former employee, Matthew Whitley (Xtra, June 19). Whitley’s lawsuit accuses the soft drink giant of tampering with a Burger King soft drink promotion, discriminating against women and minorities and improperly shifting $4 million to develop a new beverage system.
While an internal Coca-Cola audit committee said it found no evidence of discrimination or improperly shifted funds, Coca-Cola did admit that it rigged a Burger King promotion in which it hired a man to take hundreds of children to Burger King to buy meals that featured an offer for Frozen Coke.
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