Wednesday, February 20, 2019

Former Tesco CEO to be quizzed by the Serious Fraud Office


Former Tesco boss Philip Clarke will face questioning by the Serious Fraud Office (SFO) as part of a probe into the supermarket giant‘s recent accounting scandal.

The 55-year-old, who left Tesco last year following a slump in sales and profits, will be interviewed along with ex-Commercial Director Kevin Grace. Both will be spoken to as potential witnesses but will be under caution.

Reports by Bloomberg reveal that the company‘s former UK Finance Director Carl Rogberg was questioned earlier this summer and ex-Head of UK Operations Chris Bush has received an interview request.

The SFO began investigating Tesco in October 2014 after reports that the grocer had overstated profits by £263m – a figure that has since risen to £326m.

The company subsequently changed its auditor and placed certain members of senior staff on leave.

Clarke‘s successor Dave Lewis took over in September last year and has made a number of changes, including altering the way the firm deals with its suppliers in an attempt to improve the retailer‘s performance.

Lewis also faces a multi-billion pound legal battle with shareholders over the scandal.

Tesco’s shares rose 2.66% to 191.55p on Thursday. They have fallen more than 6% since the scandal was revealed.

Tesco and the SFO both declined to comment on the initial report by Bloomberg.

Charlotte Brown