On 9 February 1941, Iachino led the Italian fleet in the unsuccessful pursuit of the British Force H, after the latter had bombarded Genoa and La Spezia. He again commanded the Italian battle fleet in the Battle of Cape Matapan (26-29 March 1941), which resulted in the biggest defeat ever suffered by the Regia Marina; dismissing reports of nearby British battleships as incorrect or exaggerated, he sent the entire 1st Cruiser Division to the rescue of the stricken cruiser "Pola", resulting in the annihilation of the entire Division by the three battleships of Admiral Andrew Browne Cunningham's Mediterranean Fleet. His actions during this battle have been the subject of much criticism since then; despite this, Iachino wasn't relieved of command.