THE Groceries Code Adjudicator, Christine Tacon, has launched an investigation into Tesco
announcement and now needs more
information from direct suppliers and
others to determine what further action
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to take.
While at this stage the investigation
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will focus on Tesco, Mrs Tacon warned
other retailers could be drawn in if
evidence is presented to the GCA
during the investigation which indicates
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that the same practices have been
carried out by other designated retailers.
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Christine Tacon said: “This is the first
investigation I have launched and it
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is a significant step for the GCA. I
have taken this decision after careful
consideration of all the information
It will also consider the existence and submitted to me so far.
“I have applied the GCA published
extent of practices where suppliers
have been required to make payments prioritisation principles to each of the
for better positioning of goods (shelf- practices under consideration and have
positioning) which are not related to a evidence that they were not isolated
incidents, each involving a number
promotion.
Mrs Tacon said she had discussed the of suppliers and significant sums of
practices with Tesco before making the money.”
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THE Groceries Code Adjudicator,
Christine Tacon, has launched an
investigation into Tesco over alleged
breaches over the Groceries Code in
relation to payments to suppliers.
Mrs Tacon said she had formed a
‘reasonable suspicion that the retailer
has breached the Groceries Supply
Code of Practice’.
She took the decision after considering
information submitted to her relating
to practices associated with the profit
over-statement announced by the
retailer in September 2014.
The investigation is expected to take up
to nine months and the Adjudicator has
called for evidence to be submitted by 3
April 2015.
The investigation will cover the conduct
of Tesco dating back to June 25, 2013,
when the GCA was created, to today,
February 5. It will focus on parts of the
Code relating to delays in payments
and payments for ‘better positioning of
goods unless in relation to Promotions’.
The investigation will consider but
not be limited to, delay in payments
associated with:
Short deliveries, including
imposition of penalties
Consumer complaints where the
amounts were not agreed
Invoicing discrepancies such as
duplicate invoicing where two
invoices were issued for the same
product
Deductions for unknown or unagreed items
Deductions for promotional fixed
costs (gate fees) that were incorrect
Deductions in relation to historic
promotions which had not been
agreed.