Drury, who founded accounting firm Xero, has been the subject of misconduct claims by former employees which he has denied.
Former Xero staffer Ally Naylor alleged misconduct when she was a junior Xero employee in 2017.
Two other women have now alleged unwanted sexual contact, Stuff reported.
Drury was knighted in the 2026 New Year Honours and awarded the New Zealander of the Year in March.
This afternoon Drury said in a statement that he had returned his award.
“While I completely reject the recent allegations about me, I do not want the current situation to undermine the integrity of the awards or place further pressure on a great organisation before the relevant investigations and proper processes have been completed.
“The Awards Office should not be put in the position of having to deal with matters that do not involve them while those processes are underway.”
The New Zealander of the Year Awards Office confirmed Drury had returned the award.
"After discussions with Sir Rod Drury, the New Zealander of the Year Awards Office confirms that as the recipient of the 2026 New Zealander of the Year Award he has returned the award.
"The New Zealander of the Year Awards exist to celebrate those whose contributions strengthen Aotearoa New Zealand and reflect the values of leadership, service, integrity and respect for others.
"Any matter that undermines or calls into question those values is not consistent with the standards and expectations we hold for the awards programme."
The 2026 New Zealander of the Year Award would not be re-awarded.
In a statement following Naylor's allegations Drury said he had always tried to be "open and honest throughout his life".
" I do not intend to engage in public back-and-forth on private matters or cause further distress to those involved. However, given the relentless nature of the reporting, I believe it is important to provide context.
"I reject any allegation of wrongdoing. Reports have mischaracterised the nature of a friendship over several years. Ally Naylor and I had a limited, consensual relationship 10 years ago."
- Allied Media
