As it is also found in trace amounts in food stuffs, and allowed by the FDA. Wasn't the amount found actually below the max amount allowed? Correct me if I'm wrong here.
I'd say it wasn’t. “Diethylene Glycol was detected in one sample (Smoking Everywhere 555 High cartridge) at approximately 1%” (quote from the report). Relevant criterium is compliance with the present acceptance limit of 0.1% DEG (e.g, Yvilla’s USP link). It does not take the related question about actual intake into account, though.