back to article Inquiry hears UK government misled MPs over Post Office IT scandal

Officials at the government department responsible for the Post Office sent out misleading information to MPs about court cases relating to the Horizon IT system, an inquiry into one of the UK's greatest miscarriage of justice has heard. Appearing at the Post Office Horizon IT inquiry late last week, former minister Vince …

  1. Pascal Monett Silver badge

    "UK government misled MPs"

    I'm shocked.

    Shocked, I say.

    1. The man with a spanner

      Re: "UK government misled MPs"

      Whilst I agree that the various government ministers bear some responsibilty for the failure to act once it became apparent that there were probems that were not being addressed by the two key perpetrators of this injustice. It must be remembered that the post office is by design an arms-length body set up this way so that goverment cannot interfear with day to day management.

      In my view it is clear that:

      Fujitsu is responsible for creating a badly malfunctioning system and breaking all the rules around good practice in managing live system correction of errors. Dditionaly the were not it appears honest in their reporting of the the extent of the problem to their client, the post office.

      The post office are responsible for not managing their contractor effectively, and not challenging hard enough, not managing the progress of the project and when errors started to occur they prefered to beleive that their people were fraudulent and at fault rather than the system. It begars belief that the post office attributed the sudden rise in fraudulent activity by their trusted staff to the staff going bad. The venal paula whatnot's ability to bury her head in the ground is a negative role model to is all.

      1. Reaps

        Re: "UK government misled MPs"

        but how could they hold the god fearing paula responsible, shes a godly person so way above the scum of the world. so obviously the ungodly scum postmasters had to go to jail. /sarc

        FUCK all religions and the false righteousness that all the sky fairy freaks use as a get out of jail card.

      2. Ian Johnston Silver badge

        Re: "UK government misled MPs"

        You assume that the problem was poor software and sloppy management. I am not convinced that good old theft was not at the core. That money the SPM's were supposed to have stolen ... where did it go? Are there Fujitsu or PO staff which comfortable Swiss bank accounts? Cui bono?

      3. teebie

        Re: "UK government misled MPs"

        "so that goverment cannot interfear with day to day management."

        Various post office ministers were told that they could not interfere with operational matters because of the Postal Services Act. There doesn't seem to be any evidence that the act stipulates this.

  2. John Smith 19 Gold badge
    Coat

    IMHO

    Vince Cable is still a great name for a pron star.*

    *And in the US I'd love to find Stormy Daniels managing a new actress called "Hush Monet."

  3. John Smith 19 Gold badge
    Holmes

    But as Watson might say

    "One thing still puzzles me...

    Did someone (probably in Fujitsu) really steal actual money out of real accounts?

    Or has this all been about botched numerics routines?

    1. Peter Galbavy

      Re: But as Watson might say

      Yep, this is what is puzzling me, and has since I first remember this fiasco starting to come into view; where has the money actually gone?

      Accounting exercises are great ways of covering up fraud, theft, laundering and everything else we know and love.

      1. Unoriginal Handle

        Re: But as Watson might say

        There was no money stolen as a result of the Horizon failures. The sums allegedly stolen / misplaced / defrauded were ghost amounts created by the deficiencies in the software.

        Where money was paid back or otherwise recovered by the Post Office from SPMs it appears to have gone, eventually, into the PO's own accounts as an element of profit.

        https://www.postofficescandal.uk/post/podcast-where-did-all-the-money-go/

        1. Chrissy

          Re: But as Watson might say

          "There was no money stolen as a result of the Horizon failures"

          Yes, there was.... stolen FROM the SPMs.

          1. Philo T Farnsworth Bronze badge

            Re: But as Watson might say

            As an American, I probably shouldn't be sticking my oar in here[1], but that's one thing that makes me scratch my head over this whole misbegotten imbroglio -- as I understand it, many of the accused subpostmasters where dipping into their own pockets, sometimes mortgaging their homes, to make up these putative "shortfalls."

            You have to wonder how much ill-gotten money the Post Office made off this financial pillage of its own workers.

            Given the bullheaded, agressive prosecution, one might even be led to believe that they were treating these non-existent "shortfalls" as a sort of minor cash cow.

            ________________

            [1] We certainly have enough malfeasance in office of our own to look after (see Thomas, C, and Alito, S, just for starters).

            1. Eclectic Man Silver badge
              Meh

              Re: But as Watson might say

              Yup, it is almost as if, when the Post Office Auditors went round, they did not do an effective stock take to find out exactly what had been sold, what services had been provided, or checked transactions with actual customers.

              As far as the Post Mistresses' confession to false accounting, I reckon that her lawyer could have attempted a plea of her being under duress, as she felt compelled to do anything to open the office for her local community. But then IANAL.

              PS, feel free to comment on this from across the pond. Many UK people have no compunction about commenting on the 'man with blonde hair and a tan'* who wants to be US President again.

              *Since I realised that he fitted the description of Rocky in 'The Rocky Horror Show' I simply cannot get it out of my mind. (Oh well, here come the downvotes...)

              1. Fruit and Nutcase Silver badge
                Alert

                Re: But as Watson might say

                he fitted the description of Rocky

                POTUS 45 in swim trunks - mind bleach time.

                We can only wish that Dr Frank-N-Furter (Musk) will blast off to Transylvania[Mars] along with "Rocky"

                Sorry, more mind bleach for the image of Musk in stockings and suspenders

                1. TheWeetabix Bronze badge

                  Re: But as Watson might say

                  Musk? Dr. Frank-n-furter? Christ no. FnF has style, zazz, pizzazz, razzle AND dazzle, not to mention a great pair of legs in those heels! Exactly what does Musk have other than a frown even money can’t fix?

                  1. Lord Elpuss Silver badge

                    Re: But as Watson might say

                    "Exactly what does Musk have other than a frown even money can’t fix?"

                    Don't be dense.

                    1. Michael Wojcik Silver badge

                      Re: But as Watson might say

                      Don't be tiresome.

                      Oh, too late.

                      1. Lord Elpuss Silver badge

                        Re: But as Watson might say

                        1. Reactionary, objectively untrue and manifestly disprovable statement.

                        2. Response calling out the idiocy of such statement.

                        3. Ad hominem attack on the response.

                        It doesn't work like that Michael.

              2. ArrZarr Silver badge
                Devil

                Re: But as Watson might say

                Only insults are a one-way street across the pond. Our sense of superiority in the civilized world is a fragile thing ;)

            2. G.Y.

              terminology Re: But as Watson might say

              minor. cash cow = "revenue enhancement"

      2. John Riddoch

        Re: But as Watson might say

        ISTR some comment about the money going to suspense accounts in the Post Office. i.e. if a branch showed it was £5k down, there would be £5k in a suspense account in the Post Office which should have balanced everything out. This got raised because it would apparently also increase the PO's profitability and consequently exec bonuses, so they were benefitting from the errors.

        Of course, that raises another question about why no-one raised the point said suspense account was massively in credit alongside several branches being out of balance.

        1. Yet Another Anonymous coward Silver badge

          Re: But as Watson might say

          > This got raised because it would apparently also increase the PO's profitability

          Good job the PO isn't a public compnay or the SFO would be all over them - and then do nothing because they are the SFO

          1. Fruit and Nutcase Silver badge
            Joke

            Re: But as Watson might say

            The Serious Farce Office, as Private Eye calls it

      3. DevOpsTimothyC

        Re: But as Watson might say

        From what I remember The accounting was bad. The money never went "missing" (as in not in the correct accounts), it just wasn't correctly accounted. Money would come in and the "spare" money would go into an "overages" account and if it wasn't claimed or correctly accounted for within 3-6 months (I cannot remember which) it would be accounted as "profit" as in a donation.

        Why the "extra" money didn't ring even more serious alarm bells just goes to show the mentality of senior management.

    2. Sam not the Viking Silver badge

      Re: But as Watson might say

      It's a great question. It seems that these people were prosecuted on the basis of 'stealing money' but in no case so far revealed, has this money been identified.

      Are we to believe that Post Office employees are masters at hiding ill-gotten gains? If that were the case, surely they would be better employed in a bigger financial scam.

      The money they were forced to pay in fines/settlements ended up as profits and bonuses for the top brass. The bosses had an incentive to perpetuate fraudulent prosecutions.

      1. John Smith 19 Gold badge
        Joke

        "Are we to believe that Post Office employees are masters at hiding ill-gotten gains?"

        Surely you know British sub-postmasters have money laundering skills that would impress major drug cartels?

    3. gnasher729 Silver badge

      Re: But as Watson might say

      What happened: The postmaster’s computer said “we took £1,000”. The central computer believed “that postmaster took £2,000”. So someone had to be wrong. Fujitsu didn’t bother trying to find the truth, they didn’t change the incorrect £2,000 to £1,000, they changed the correct £1,000 to £2,000 and accused the postmaster of fraud.

      If the postmaster paid £1,000 out of their own pocket to avoid prosecution, the post office had an extra £1,000 to pay bonuses to their CEO.

    4. katrinab Silver badge

      Re: But as Watson might say

      No. The "lost money" was duplicated sales transactions that never happened.

      The terminal would send a sales transaction to the server. The server sent an ack packet back, but that packet didn't arrive at the terminal. The terminal resent the sales transaction, and the server recorded it as a second sale for the same amount.

      Two customers in a row could well buy exactly the same thing, but there should have been a unique transaction number generated by the terminal so that the server could identify a re-transmission.

      1. J.G.Harston Silver badge

        Re: But as Watson might say

        *FUNDAMENTAL* communications principles. I was doing this with Beebs in 1985 with networking protocols designed in 1980.

      2. John Smith 19 Gold badge
        Unhappy

        "but that packet didn't arrive at the terminal."

        If correct this is staggeringly poor.

        1. gnasher729 Silver badge

          Re: "but that packet didn't arrive at the terminal."

          No, that is normal. Connections can fail, and messages get resent. In computer science terms, sending the message was not idempotent. (Idempotent: Doednt matter if an sction is performed once, twice, or 200 times )

      3. gnasher729 Silver badge

        Re: But as Watson might say

        It would be a reasonable interview question for a software developer how to prevent this from happening. (Simplest: Branch computer sends message either some ID. if it doesn’t get a receipt it resends the message with the exact same ID. Central computer accepts only one message with the same ID).

        1. J.G.Harston Silver badge

          Re: But as Watson might say

          We called it a sequence number in the first half of the '80s. Another option is for all transactions be "set to" rather than "change by", but you have to be aware if multiple different "set to" transactions from different sources is appropriate for the system.

  4. Sparkus

    at what point does....

    "misleading information" become "intentional lies"?

    1. bernmeister
      Holmes

      Re: at what point does....

      At the same point as being economical with the truth.

    2. Aladdin Sane

      Re: at what point does....

      When it's not covered by parliamentary privilege.

  5. Anonymous Coward
    Anonymous Coward

    Ve ver just obaying orders ;)

    The department overseeing the Post Office engaged in the dissemination of carefully curated information to Members of Parliament regarding the judicial proceedings associated with the Horizon IT system. Vince Cable expressed his profound reliance on the perceived efficiency and ideological purity of those providing counsel when responding to MPs' inquiries.

    1. Anonymous Coward
      Anonymous Coward

      Re: Ve ver just obaying orders ;)

      The department overseeing the Post Office didn't think it was allowed to. Kelly Tolhurst (Post Office minister 2018-20) was in charge when the PO lost the Bates case. They then appealed on the basis that they felt the judge was biased. Tolhurst had been briefed that she didn't have the power to stop it.

      https://www.bbc.co.uk/news/articles/c0xje1jqq71o

  6. Sam not the Viking Silver badge

    They would say that, wouldn't they

    It seems that almost every person involved in running, managing, supervising, overseeing, governing, advising (lawyers) is using the defence: "Well I was much too busy to look at the detail for myself. It was underlings/servants/others who told me lies and wrote letters on my behalf." Mandy Rice Davis applies.

    They were so ineffective at running the business they should do the honourable thing and pay all the lawyers fees that have been taken from the innocent SPMs. Plus interest.

    1. Evil Scot Bronze badge

      Re: They would say that, wouldn't they

      And charge them with manslaughter.

    2. Roland6 Silver badge

      Re: They would say that, wouldn't they

      They weren’t incompetent, they were engaged in criminal activity. Hence their entire earnings and the benefits they gained are the proceeds of crime.

      Paying the Lawyers fees is the minimum, they additionally need to pay damages at the levels the courts have awarded in private liable and defamation of character cases, in addition to the lose of earnings etc.

      1. Richard 12 Silver badge

        Re: They would say that, wouldn't they

        Quite a lot of very senior people need to be imprisoned and disgorged of the proceeds of their crimes.

        And a lot of of very senior lawyers and KCs disbarred.

        Could start by extraditing that lawyer who ran to Australia.

        1. TheWeetabix Bronze badge

          Re: They would say that, wouldn't they

          “Former Post Office lawyer tracked down to £2m home in Australia after refusing to appear at Horizon scandal inquiry.”

          Bit of a large house for a post office lawyer… Shirley she’s had a lot more cases than you would think.

      2. gnasher729 Silver badge

        Re: They would say that, wouldn't they

        I’d say lawyer cost, compensation for jail time, compensation for the loss of reputation, _plus_ all salaries with raises and pension contributions from the moment the postmaster was fired to the moment the last penny of compensation has been paid. Salary = net salary with post office paying back taxes as needed.

  7. ecofeco Silver badge
    Meh

    So, will they be punished?

    They will be punished, right?

    Oh wait. Of course not.

    1. Yet Another Anonymous coward Silver badge

      Re: So, will they be punished?

      >They will be punished, right?

      Of course. Fujitsu may even be disadvantaged when bidding for the replacement system

      Forcing them to perhaps even form a new subsidiary to apply for future Post Office IT contracts

      1. TheWeetabix Bronze badge

        Re: So, will they be punished?

        You know, sort of like how Boeing spun a subsidiary to produce parts… because that of course would work better.

        1. Yet Another Anonymous coward Silver badge

          Re: So, will they be punished?

          Or how Arthur Anderson had to rename themselves everytime they got caught helping a company fiddle tax.

  8. Electronics'R'Us
    Stop

    Please

    Stop repeating incorrect history.

    Horizon is an EPOS and backend finance system for thousands of Post Office branches around the UK, first implemented by ICL, a UK technology company later bought by Fujitsu.

    The entire rollout of Horizon was very much driven by Fujitsu, who owned 80% of the company at that time. They even leaned on the British government to make veiled threats about economic problems should the Horizon rollout be delayed.

    History of ICL: here [Silicon.co.uk]

    Fujitsu leans on government: from Computer Weekly

  9. Cruachan Bronze badge

    It seems the PO had Lt George managing statements to the government. "We didn't receive any orders, and Captain Blackadder did not shoot this delicious plump-breasted pigeon."

  10. MichaelGordon

    Multiple people from Fujitsu, the Post Office, and the Civil Service need to serve substantial jail terms for what happened. Adding up all the jail time that innocent people were sentenced to due to their lies would be a good starting point when considering appropriate sentences.

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