Diageo has entered into an agreement with Dr Vijay Mallya under which he has resigned from his position as Chairman and non-executive director of United Spirits Ltd and from the boards of other USL group companies. Following Dr Mallya's resignation, the USL board will appoint Mahendra Kumar Sharma, currently independent non-exec director and Chairman of the Audit Committee of USL, as Chairman. The agreement ends Diageo's prior agreement with Dr Mallya regarding his position at USL - bringing to an end the uncertainty relating to the governance of USL - and puts in place a five year global non-compete, non-interference and standstill arrangement with Dr Mallya. In April 2015, United Spirits' board called on Mallya to stand down, following the conclusion of an internal review.
