Tesco Rapped by Regulator Over Treatment of Suppliers
- Retailer apologizes and says it will work to rebuild trust
- Serious Fraud Office criminal probe still hangs over grocer
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Tesco Plc received a rap on the knuckles from the U.K. grocery regulator, which said Britain’s largest supermarket chain prioritized its own finances over treating suppliers fairly in breach of an industry code.
Tesco delayed significant payments on a widespread basis and made unilateral deductions to the money it owed for goods already received, the Groceries Code Adjudicator said in a report Tuesday. The retailer apologized, saying that it accepts the rebuke and will work to rebuild trust with manufacturers.