Indian Tribe Sues Beer Makers, Sellers (BUD, TAP, SBMRY)

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By Paul Ausick Published

Three of the world’s largest beer brewers are being sued by the Oglala Sioux Tribe of South Dakota, alleging that the beer makers knowlingly sold beer to four stores in Whiteclay, Nebraska, which in turn sold the beer to Native American residents of the Pine Ridge Reservation, where alcohol sales are banned. Brewers named in the suit include Anheuser-Busch InBev SA (NYSE: BUD), Molson Coors Brewing Co. (NYSE: TAP), and SABMiller plc (OTC: SBMRY).

According to a report in the Rapid City Journal:

[The lawsuit] alleges the defendants violated the tribe’s alcohol ban as well as Nebraska law by providing alcohol to the reservation’s residents, knowing those residents would transport the alcohol into the reservation and resell much of that beer to other reservation residents.

The lawsuit also alleges the owners of the four beer stores sold alcohol to intoxicated people and accepted sex, pornographic photos and food assistance vouchers in exchange for beer.

The suit also claims that defendants sold 5 million cans of beer to the tribe’s members in 2010 and the complainants are seeking unspecified monetary damages.

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Photo of Paul Ausick
About the Author Paul Ausick →

Paul Ausick has been writing for 247Wallst.com for more than a decade. He has written extensively on investing in the energy, defense, and technology sectors. In a previous life, he wrote technical documentation and managed a marketing communications group in Silicon Valley.

He has a bachelor's degree in English from the University of Chicago and now lives in Montana, where he fishes for trout in the summer and stays inside during the winter.

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