19 September 2008
Tesco secures apology in libel case
Supermarket giant Tesco has secured an apology in its libel battle with the Guardian.
In a new development, the newspaper has issued a front page apology to the company, bringing to an end an eight-month legal fight.
The case centred on allegations made by the Guardian that Tesco was avoiding £1 billion of corporate tax on property deals by using a network of off-shore accounts.
It published headlines stating: "Tesco's £1 billion tax avoiding plan - move to the Cayman Islands" and "Every little bit helps: Tax free pot of gold at the end of Tesco's rainbow".
In a retraction of its accusations, the paper - which is owned by the Guardian Media Group - said: "We now accept that these damaging allegations were unfounded and should not have been published."
Meanwhile, a Tesco spokesperson added that the firm is pleased to have achieved the front page apology it sought from the outset of the case, the Telegraph reports.