Was Diageo aware of diversion of funds by Mallya before USL takeover?

The 'King of good times' has given Diageo a good hangover

India’s liquor market was for years a thorn in the side of Diageo PLC, the world’s largest spirits maker. Then it met the “King of Good Times.”

Vijay Mallya, a billionaire fond of mullet haircuts, diamond earrings, sports and lavish parties, invited Diageo executives to his Mumbai residence in early 2012 and offered them a deal for a majority stake in India’s largest liquor maker, which he controlled.

Diageo was desperate to break into India and had long coveted United Spirits Ltd. As the two sides began discussions, the challenge of absorbing the company and its freewheeling founder became increasingly