Tesco Plc Chair John Allan is stepping down days after he was linked to a rising scandal at Britain’s premier enterprise foyer group.
Byron Grote, senior unbiased director, will stand in as interim chair till a successor is appointed, the UK’s largest grocer mentioned in a press release Friday. Allan’s tenure was resulting from finish shortly, the retailer mentioned, and he’ll formally step down on the annual assembly on June 16.
The corporate mentioned that 4 allegations had been made in relation to Allan’s conduct, within the wake of investigations into the Confederation of British Trade, the enterprise foyer group.
Three had been “vigorously denied” by Allan, the corporate mentioned, including that he had “unreservedly apologized” for the opposite — a remark he made a few lady’s costume at an occasion in 2019.
One of many allegations associated to Tesco’s annual assembly in 2022. The grocery store mentioned it carried out an in depth overview of the allegation and didn’t determine any proof or complaints following the assembly.
Tesco additionally requested exterior counsel to contemplate the scope of its overview — which didn’t determine any proof or complaints in relation to his tenure as Tesco chair, the corporate added.
Grote mentioned that whereas there had been no complaints about Allan’s conduct, and the grocery store had not discovered any wrongdoing, the allegations risked changing into a “distraction to Tesco.”
Allan, who additionally chairs Barratt Developments Plc, launched a separate assertion wherein he mentioned it was with “remorse” that he would “prematurely stand down” from Tesco. He mentioned the allegations, which had been reported within the Guardian, had been “completely baseless.”
He added: “I stay decided to show my innocence.”
The CBI, which Allan led as president from 2018 to 2020, has been rocked by a scandal which noticed two girls make rape allegations in opposition to colleagues. The complaints in opposition to Allan had been unrelated to those allegations.
Tesco inventory was little modified in London buying and selling.
