The Financial Reporting Council (FRC) announced on Monday that it has concluded its investigation into Tesco’s accounts, after investigating three years worth of auditing by accounting firm PwC.
The investigations have been ongoing for two and a half years, after the grocery giant overstated its profits by £326 million in 2014. The FRC, an independent disciplinary body for accountants and actuaries, had been looking into PwC’s auditing for the years 2012, 2013 and 2014.
However, on Monday it concluded there was “not a realistic prospect” that PwC would be found guilty of misconduct.
In a statement on the matter, PwC said it had “co-operated fully during the FRC’s thorough investigation and are pleased that the FRC has closed it without any further action.”
The investigation stems from Tesco overstating profits by £326 million in 2014, after it incorrectly booked payments from its suppliers. In March this year Tesco was fined £129 million.
Shares in Tesco (LON:TSCO) rose on the news, currently trading up 0.44 percent at 183.35 (1203GMT).
