Tesco’s Jago ‘expected to be dismissed’
Tesco’s suspended head of beer, wine and spirits Dan Jago is expected to be fired along with four remaining executives under investigation, after three have already been dismissed, according to reports.
The source used by The Independent has not been revealed, but the paper understands that a complete dismissal of the eight suspended executives is underway, and that chief executive Dave Lewis has already begun looking for new candidates to fill their roles.
Financial Times has already revealed that three directors – Kevin Grace, group commercial director, Carl Rogberg, UK finance director, and John Scouler, UK food commercial director – are believed to have left the company on Wednesday 26 November, with the information provided by “people close to the situation.”
BBC News reports that it knows of at least one executive that has left the company, but they have not been named.
The news comes as the Serious Fraud Office continues its investigation into Tesco and its purposefully misleading financial reports, which advanced the company’s credits and held off expenses, leading to the revelation of a £263 million ‘black hole’ in its accounts.
The SFO is looking for evidence of collusion between the company’s accountancy departments and the various management and product divisions of the company, of which Dan Jago – as head of beer, wine and spirits – is one.
The total list of directors under scrutiny, dubbed the Cheshunt Eight, are Chris Bush, UK chief executive; Carl Rogberg, formerly UK finance director; Kevin Grace, formerly commercial director; John Scouler, formerly food commercial director; Matt Simister, head of sourcing; William Linnane, director of impulse purchases; and Sean McCurley, director of convenience.
No one from Tesco, or from their beer, wine and spirits division, was reachable for comment.
Criminal charges could be levelled against those thought to be involved in intentionally presenting misleading financial information. A handful of law firms are already considering taking action against the company for providing false statements to the stock market.
The turmoil has already claimed the chairman of the company Richard Broadbent, who said the situation as “a matter of profound regret”. A successor to him is yet to have been found.
The company’s stock market levels continue to plummet as they hit an 11-year low, dropping in value by 50% this year alone.
Tesco’s drinks division also lost Laura Jewell MW this week, as she departs the company to join Wine Australia.