Portugal Colonial - Tesco chairman to step down over misconduct claims

"We are well advanced in our search for a new chair and will make an announcement in due course," interim chair Byron Grote said in a statement to the London Stock Exchange.

Grote said he would helm Tesco's annual general meeting (AGM) on June 16, when Allan will step down after eight years in the chair.

Last week, the Guardian newspaper reported that Allan "faces claims of inappropriate and unprofessional behaviour from four women".

It said that Allan, 74, allegedly touched the bottom of a senior Tesco staff member at last year's AGM.

"Three of these allegations are vigorously denied by John, for the other John unreservedly apologised for the comment he made," the Tesco statement said.

The retail chain said it had commissioned an "extensive review" of the allegations backed by external lawyers.

"This review has not identified any evidence or complaints in relation to John at the Tesco 2022 AGM, or at all in his tenure as Tesco chair," it said.

Nevertheless, Grote said "these allegations risk becoming a distraction to Tesco", while thanking Allan for his "substantial contribution to the business".

The Guardian had recently revealed similar accusations against staff at the CBI -- Britain's main business lobby group -- triggering a major shake-up at the organisation and a police investigation.

The newspaper said it was also claimed that Allan touched the bottom of a member of staff at the CBI's annual dinner in 2019, when he was president of the lobby group.

Sources alleged that Allan made inappropriate remarks at the two events, as well as separate, similar comments to two other female CBI staff members in 2019 and in 2021 respectively.

"Some of the women said they were offended by the alleged actions and considered his behaviour to be sexual harassment," the newspaper said.

The Guardian said the one allegation that Allan admitted to was a comment about a CBI staffer's appearance that she found to be offensive in 2019.

A.Magalhes--PC