Thursday 6th April, 2017
Serious Fraud Office (SFO) has confirmed that it has reached an agreement with Tesco after its investigation into accounting practices.
The SFO confirms that, if approved, the Deferred Prosecution Agreement will result in Tesco Stores Ltd paying both a financial penalty of £128,992,500 and the SFO’s full costs. The DPA relates to false accounting by Tesco PLC's subsidiary, Tesco Stores Limited, between February 2014 and September 2014.
The DPA is a voluntary agreement under which Tesco Stores Limited will not be prosecuted provided the business fulfils certain requirements, including paying a financial penalty of £129m.
Dave Lewis, Tesco Group Chief Executive, said in a Regulatory News Service announcement:
"Over the last two and a half years, we have fully cooperated with this investigation into historic accounting practices, while at the same time fundamentally transforming our business. We sincerely regret the issues which occurred in 2014 and we are committed to doing everything we can to continue to restore trust in our business and brand."
The hearing will take place on 10th April at Southwark Crown Court.