Tesco hands out £193m to settle 2014 accounting scandal

Tesco
The Big 4 grocer said it had settled claims from investors with two law firms

Tesco has handed out £193 million to settle an accounting scandal from 2014, a larger number than it received from the UK’s fraud watchdog.

The Big 4 grocer said it had settled claims from investors with two law firms that had brought legal proceedings against it last September.

The investors include Allianz, Russell Investments and the Church of England pension fund, which sued Tesco over a scandal that wiped off £2 billion from its valuation.

Tesco had incorrectly booked supplier income by £250 million, although the error reportedly grew to £326 million.

As a result, shareholders had been seeking compensation for the share price fall, claiming that their losses resulted from Tesco’s inaccurate reporting.

The Serious Fraud Office had fined the supermarket giant £129 million, while three Tesco executives who were prosecuted by the watchdog were eventually acquitted in 2019.

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1 COMMENT

  1. Hello Retail Gazette,
    I invested in Tesco shares in 2014 (and also my son did) and subsequently lost money as a result of the accounting scandal. How can I lodge a claim for compensation? Who do I contact?
    I would very much appreciate advice.
    Robert Whiteoak,
    Glos. UK.

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