Tesco has suspended four executives, including its UK managing director, after the supermarket overstated its half-year profit guidance by £250m.
It has launched an investigation headed by Deloitte. The supermarket chain says it is now working to establish the impact of the issue on its full-year results.
Shares fell 10% in early trading.
“We have uncovered a serious issue and responded accordingly,” said Tesco chief executive Dave Lewis.
On a conference call later, Mr Lewis said “a number of people” had been suspended from duty while the investigation is under way.
UK managing director Chris Bush is one of those suspended, according to Radio 5 Live presenter Adam Parsons.
Mr Lewis, who took the helm at Tesco on 1 September, said he expected the group “to operate with integrity and transparency”.
“We will take decisive action as the results of the investigation become clear,” he added.
