Tesco close to settling 2014 accounting scandal

Tesco
Tesco is expected to hand out over £100 million to the group of shareholders
// Tesco close to settling the final meaningful legal action from investors over 2014 accounting crisis
// The grocer is expected to announce this alongside its half-year results on Wednesday

Tesco is reportedly close to settling the final meaningful legal action from shareholders over the 2014 accounting crisis that brought it to the brink of financial collapse.

The grocer is expected to announce alongside its half-year results on Wednesday that it has reached agreement with a group of institutional investors over a substantial payout.

The most prominent party to the settlement would be Norwegian sovereign wealth fund, Norges Bank, Sky News reported.


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Tesco is expected to hand out over £100 million to the group of shareholders, adding to a series of earlier settlements which are thought to have cost in aggregate several hundred million pounds.

The litigation law firm Stewarts Law was reported in 2016 to be leading class action claims against Tesco involving as many as 60 of its investors.

The latest sum to be paid out to investors are on top of a £129 million penalty that Tesco incurred in 2017 as part of a plea deal with the Serious Fraud Office (SFO) known as a deferred prosecution agreement.

The DPA’s three-year term expired last year.

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