Sir Rod, who founded accounting software firm Xero in 2006 and was its chief executive for 11 years, has been the subject of misconduct claims by three former employees.
A fourth woman, tech company founder Jenene Crossan, has alleged this week Sir Rod behaved inappropriately with her in 2016.
The Otago Daily Times was tipped off yesterday that Sir Rod told the audience at a private meeting in Queenstown he had returned the award.
Sir Rod, who was knighted in the 2026 King’s New Year Honours, and awarded the New Zealander of the Year in March, issued a statement a short time later.
‘‘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 under way.’’
The New Zealander of the Year Awards Office also issued a statement confirming the award had been returned.
‘‘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 award would not be re-awarded, the statement said.
Last month, former Xero staffer Ally Naylor alleged misconduct when she was a junior employee in 2017, and has laid a complaint with police.
Sir Rod has described his relationship with Ms Naylor as a ‘‘limited, consensual relationship’’.
The accounting software company has launched a review into its handling of the allegations at the time, and hired external counsel Maria Dew, KC, to assist.
Stuff has reported on two other women who allege unwanted sexual contact with Sir Rod.
A second former Xero employee, referred to publicly as ‘‘Amy’’, says Sir Rod initiated unwanted sexual contact with her at his apartment.
Meanwhile, his former private chef, Megan Ruddle, claims he repeatedly kissed her on the lips while she worked for him, and that the contact was unwanted.
Ms Ruddle, who told Stuff she laid a complaint with police last month and has been interviewed, worked for Sir Rod for three years, first on his yacht and then at his Queenstown home until last year.
