The CEO of Tesco was surprised and shocked to discover the company's profits had been misstated by almost £246 million, a court has heard.

Dave Lewis told the trial of three men accused of failing to correct inaccurately recorded income figures which were published to the market, that once he was made aware of the shortage it was "very important" for the matter to be looked into quickly.

Carl Rogberg, aged 50 who is from Chiselhampton, is charged with fraud by abuse of position and false accounting between February and September 2014 along with Chris Bush, aged 51, and John Scouler, aged 49.

Mr Lewis told jurors at Southwark Crown Court that although he started his position on September 1, despite numerous meetings with Bush and a meeting with Scouler, he had not been told of the issue until September 19.

He said he was called into a meeting with Adrian Morris - Tesco's chief counsel - at around lunch time that day, and presented with the Legacy Paper.

The court has previously heard that the Legacy Paper explained there was a £246 million hole in the accounts.

Prosecutor Sasha Wass QC asked what his immediate reaction had been, to which Mr Lewis replied: "One of surprise and one of shock really.

"I think the thing that was unique to this paper was the indication that the numbers that had been declared had a potential misstatement within them."

Rogberg, of Chiselhampton, Oxfordshire, Bush, of High Wycombe, Buckinghamshire, and Scouler, of St Albans, Hertfordshire, all deny the charges.

The trial will continue at 9.30am on Friday.