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Tesco fined £129m for black hole balance sheet

Tuesday, March 28, 2017 - 01:13

Britain's biggest retailer Tesco has agreed to pay £214 million ($269 million) in fines and compensation for investors to settle a probe over a 2014 accounting fraud that sparked the biggest crisis in its near 100-year history. Rosanna Philpott reports.

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Three years after the accounting scandal that rocked Britain's biggest retailer Tesco hit with a total bill of £214m to settle several investigations. That includes a £129m fine and compensation earmarked for investors - the first market abuse payout of its kind. It's part of a so called deferred prosecution agreement with Britain's serious Fraud Office - a necessary step followed to escape criminal conviction. Tesco announced a 263 million pound black hole in its balance sheet back in September 2014 The news caused company shares to plunge, the biggest crisis in its 100 year history and a sector wide price war. Since then the supermarket giant has been rebuilding itself. CEO Dave Lewis transforming its relationship with suppliers and simplifying the business but he's not quite in the clear.. the new agreement needs approval from the courts and Tesco still faces a claim by institutional investors of over 100 million pounds...

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Tesco fined £129m for black hole balance sheet

Tuesday, March 28, 2017 - 01:13