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Wed 25 Nov 2009, 12:05 pm UTC

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World's most expensive supermarket bikes

By James Costley-White

Supermarkets are known for buying the cheapest bikes they can get their hands on – often at the expense of comfort and reliability – and them selling them on in bulk for a tidy profit.

But not British retail giant Tesco – according to legal papers filed at the High Court in London, the company shelled out £984,000 for just six Muddy Fox mountain bikes in August.

Since the accounting error was discovered – the full-suspension bikes should have cost just £984 – the company has done its best to reclaim the money from Essex-based Universal Cycles, according to a report in the Daily Telegraph.

Muddy Fox's parent company, a subsidiary of Sports Direct, has allegedly paid back £863,000 but Tesco is demanding a further £121,000. Attempts to settle the dispute out of court have failed. The supermarket hopes to recover the remaining money, legal costs and £1,783 interest.

Universal Cycles declined to comment when approached by BikeRadar. At time of publication, we had not received a response from Tesco.

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User Comments

There are 28 comments on this post

Showing 1 - 28 of 28 comments

  • How dodgy are sports direct why try and keep some of the money which is clearly a mistake, this will only cost them more money and a good contract.

  • According to the Telegraph, Sports Direct argue they're owed money for other transactions with Tesco.

  • Well that should be the subject of a seperate action surely?!

  • i walked past some of the bikes in Tesco on monday and theyre doing the same as asda by putting the forks on the wrong way round!

  • sports direct? are they the ones owned by that Mike Ashley guy who owns Newcastle United? the guy who tried to sell a club in the championship for £100m? no wonder he doesn't want to cough up, those guys are up the proverbial creek!

  • Emmodd - your negotiating position becomes a lot stronger if you're the one holding the cash.

  • impressive that the Tesco in this picture has a sign which says 'bicycle parking' and then ACTUALLY HAS bicycle parking facilities. Tesco Stalybridge recently got rid of their 3 cycle spaces (usually filled by mopeds), but kept the sign. It appears to be being used to lean a 'Dunkin' Donuts' sign against.

  • Point taken. Don't think the Court will see it that way though eh (unless sports direct bring a seperate action)?

  • pwned

  • Be nice to see Tesco get shafted.

    Every Little Hurts....

  • Perhaps not suprisingly, there's a job going at Tescos!

    www.tesco-careers.com/job.cfm/reference/210/source/BOND/

  • glad its tesco getting shafted, i had household insurance with them, worst customer service i had EVER dealt with & refused to pay out, nice to see them getting it in the ass!

  • maintaining a wrongful credit is a criminal offence ?

  • Tesco and Universal. a match made in heaven.

  • So Tesco screws up by overpaying, doesn't pay their other accounts, then tries to recoup ALL of the money plus costs and interest when the mistake was theirs to begin with? Someone please tell me where the queue is, I have some issues with Tesco myself and have this big stick in my hand that I'd like to shove up their backside...

  • Tsco deserve a shitty deal, after all they are destroying the high street and freedom of choice

  • The only way they are destroying the high street is people go to them and not their village shop, and TBH with you that happened ages ago.

    And also if Tesco overpaid SportDirect should have given the money back, simple, it doesn't give SportsDirect the right to keep the money.

  • My heart bleeds for Tesco's!

    How will they ever come back from this... :)

  • I wonder when this overpayment occurred(?). Trying to think whether they would have had more interest if the money was in the bank between now and then or if interest is higher in what they are claiming(?). Would be funny if the bank Tesco uses offers, say, 6%, and the Bank of England interest of 8% was applied to their claim. Is this a new form of investment?

  • "always check your change before leaving the shop as mistakes cannot be rectified afterwards"

  • "always check your change before leaving the shop as mistakes cannot be rectified afterwards"

    Priceless!!! Now I just have to clean the coffee of the keyboard & screen......

  • Actually, it depends on how the order was structured. If tesco tendered the 1m sports direct are entitled not to give them change. Change is given as good will cv the sellers discretion. Have a google for stages in contract acceptance.

  • its nice to see a supplier ripping off tesco for a change tesco are scum and totally rip of their supplier most of the time, i hope he keeps the money!!!

  • I'm not sure why tesco are getting a barrow load thrown at them, for over a century millions of people throughout the world have relied upon supermarkets to accquire widely varying goods in bulk and sell them at a reasonable rate from one location for the consumer especially for those on a tight budget. Without supermarkets we would still be spending huge amount of time getting to individual shops & the additional parking/traffic issues would grind this country to a halt if we all shopped in little stores on the high street.

    So, someone made a mistake and the seller is been a little tardy...big deal. As someone already mentioned, one has a choice, no customers no business. That's why tesco is the biggest then...lol. Think my Tesco shares went down today because of all the bickering....grrrr

  • So have the people moaning about Tesco (ie supermarkets in general) destroying the high street never ever been into one to shop?

    Didn't think so.

  • Is Tesco something like WalMart?

  • How much are Tesco's selling these bikes for? The most expensive bike on their web-site is £274, which if they are paying £164 each for them they are making more margin than a UK bike shop while offering lower service standards.

  • Shows how much money tesco ha as it took them this look to realise a million punds has just gone missing!

  • 1

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