There are reports the Serious Fraud Office (SFO) has dropped plans to bring fraud charges against Kevin Grace, former commercial director at Tesco, as part of its investigation into the retailer’s discovery of a £263m black hole in its accounts in 2014
Grace was among a group of senior executives asked to leave Tesco once the scale of the accounting irregularities became clear, and was the last to be waiting to hear whether or not he would face legal action as a result of the SFO’s investigation, which began in October 2014.
His lawyer, Stephen Pollard of solicitors WilmerHale, has now confirmed that Grace has been told the SFO does not plan to charge him, but has made no further comments.
A spokesman for the SFO said ‘the investigation into Tesco continues.’
Philip Clarke, Tesco’s former chief executive, was told last month that he would not face charges.
However, three former senior Tesco executives have been charged with fraud and are expected to stand trial in the latter half of next year. They include former UK finance director Carl Rogberg, together with Chris Bush who ran Tesco’s UK business and John Scouler, the store’s former food director. All three have pleaded not guilty to e charges of fraud by abuse of position and false accounting.
The SFO said that it would conclude its inquiry by the end of this year.
The Financial Reporting Council, is still investigating Tesco, which is also facing a £100m legal battle with a shareholder group who claim they lost money when the accounting scandal saw the company’s shares plummet.
