TESCO’S accounting scandal has spurred on a flurry of hastily arranged audits among a number of major global consumer firms anxious to ensure their UK operations have not been afflicted by the same woes that tainted the supermarket group, it has emerged.
According to the Telegraph, companies such as Unilever, Coca-Cola and Proctor & Gamble are reviewing their UK businesses about the practices in the UK supply chain, prompting a series of due diligence checks.
While there is no suggestion of any supplier wrongdoing questions remain over the machinations that allowed the £263m black hole to be created at the UK’s biggest retailer.
Tesco has already suspended eight senior executives, including UK boss Chris Bush, while a probe into the scandal is conducted by City watchdog, the Financial Conduct Authority. It is also withholding £2m in payments to Philip Clarke and Laurie McIlwee, its former chief executive and chief financial officer.
Big Four firm Deloitte recently completed its investigation into the scandal and confirmed the blackhole was bigger than previously stated at £263m, rather than £250m.
Tesco shares have plummeted by half this year, while the grocer has seen a 92% fall in pre-tax profits.