Tesco suspends three more executives over £250m black hole - UPDATE

14th Oct 2014 11:40

Tesco has suspended three category directors in relation to the recent scandal over its accounting practices.The supermarket giant, which had so far suspended five executives as it conducts an investigation into how it managed to overstate its first-half profit guidance by £250m, confirmed media reports."We have asked three employees to step aside to facilitate the investigation into the potential overstatement of profits in UK food," the company said in a statement."We will provide an update on the investigation with our interim results on 23 October."The three category directors asked to step aside are William Linnane, in charge of impulse; Dan Jago of wines and spirits; and Sean McCurley, category director of convenience.The group revealed on 22 September that it had overstated its profit forecasts for the six months to 23 August, which it largely blamed on the "accelerated recognition of commercial income and delayed accrual of costs". Alongside its own review, the Financial Conduct Authority is also conducting an investigation into the incident.Investigation continues apace within Tesco. Concern for investors is how much more lurks within.- Steve Dresser (@dresserman) October 14, 2014