Post Office CEO tells inquiry leadership was in 'dream world' over Horizon scandal
- Reference: 1728549428
- News link: https://www.theregister.co.uk/2024/10/10/post_office_ceo_inquiry/
- Source link:
Appearing before the Post Office Horizon IT inquiry, Nick Read admitted that both the interview process for his appointment in 2019 and the job specification for the role failed to mention ongoing legal proceedings against the Post Office for its part in the Horizon IT scandal.
Horizon is an EPOS and back-end finance system for thousands of Post Office branches around the UK, first implemented by ICL, a UK technology company later bought by Fujitsu. From 1999 until 2015, around 736 sub-postmasters and sub-postmistresses were wrongfully convicted of fraud when errors in the system were to blame. A statutory inquiry into the mass miscarriage of justice launched in 2021 is ongoing.
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In his written evidence to the inquiry, Read said that before and during the interview process, he was aware that it was facing litigation connected to allegations of historic bugs in the IT system and the requirement for postmasters to repay the shortfall. He said that at that stage he didn't have a detailed understanding of litigation or allegations.
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Speaking for the inquiry today, Jason Beer KC said when Read was appointed, the common issues judgment – which related to contractual relationships with the postmasters – had been handed down already, while the related Horizon issues trial was about to start.
"The job specification does not properly address or describe the role that you were, in fact, needed to perform," Beer said. Read agreed.
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After Read's appointment, the [5]Horizon issues judgment was handed down in December 2019. It said that the Post Office's attempt to defend its Horizon IT system "amounts to the 21st century equivalent of maintaining that the Earth is flat."
[6]Inquiry hears UK government misled MPs over Post Office IT scandal
[7]Former Fujitsu engineer apologizes for role in Post Office IT scandal
[8]Bill advances to exonerate hundreds in Post Office Horizon scandal
[9]Post Office slapped down for late disclosure of documents in Horizon scandal inquiry
It found the system was the cause of accounting irregularities and the Post Office's failure to investigate the problems suggested "the most dreadful complacency … bordering on fearfulness of what might be found if they were properly investigated."
Read told the inquiry that after the judgment was handed down, neither the Post Office's executive or board were seriously concerned.
Beer asked: "Looking back, would you agree that this description is of a leadership team in 2019 that was living in something of a dream world given the content of the Horizon issues judgment?"
"I think it'd be impossible not to conclude that," Read said.
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The Horizon scandal became known to the wider public from the beginning of 2024 when ITV broadcast a dramatization of the postmasters' fight for justice. Since then, [11]the government has promised faster compensation for the victims, former CEO Paula Vennells has [12]returned her CBE , and Paul Patterson, director of Fujitsu Services Ltd, has [13]apologized to MPs for the company's role in the scandal .
The inquiry continues. ®
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[5] https://www.theregister.com/2019/12/18/post_office_trial_fujitsu_horizon_judgment/
[6] https://www.theregister.com/2024/07/29/post_office_horizon_inquiry/
[7] https://www.theregister.com/2024/06/28/fujitsu_witness_post_office/
[8] https://www.theregister.com/2024/05/01/post_office_exoneration_bill/
[9] https://www.theregister.com/2024/04/09/post_office_horizon_evidence/
[10] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_onprem/publicsector&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=3&c=33Zwelxkx1tDYrMVKhYc4SvwAAAQk&t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0
[11] https://www.theregister.com/2024/01/08/sunak_promises_faster_justice_for/
[12] https://www.theregister.com/2024/01/10/post_office_boss_returns_cbe/
[13] https://www.theregister.com/2024/01/17/post_office_inquiry_latest/
[14] https://whitepapers.theregister.com/
Post Office's/Fujitsu executives, board, managers at all levels complacent in unlawful prosecutions, fraud, suicides, destruction of lives should now be facing jail terms, massive finds and even personal prosecutions from the victims. Will it happen, no, some money will change hands, and they get away with it, to live happily on their massive pensions or go on to control other companies.
Only common people feel the full weight of justice !!
Fushitesu should also be banned from UK market and have all contracts cancelled.
Unrequested comma surplus
"I think it'd be impossible not to conclude that," Read said.
I know this is a minor thing but WTF is going on with commas and proof reading at El Reg? They seem to appear in the strangest of places, then go missing when needed. It's incredibly distracting to try and read articles full of grammatical errors.
Re: Unrequested comma surplus
It's American punctuation style, with punctuation kept inside the quotation marks. Looks very strange to people raised with English grammar.
Re: Unrequested comma surplus
It appears so. The example above is particularly jarring as the comma implies there's a section of the quote that's been omitted after the comma, but I googled and it seems that was the end of his sentence! I'd have thought even in American that would mean a full stop rather than a comma. As written it reads "I think it'd be impossible not to conclude that..." and leaves the reader wondering what was omitted.
I guess it's too much to hope that what is (or I guess was if it's been taken over) a British site writing about a British story and quoting someone in the UK could actual use the appropriate gamma. Can anyone recommend a site like The Register that's written in English? :-)
Pathetic from Read
If we accept the (extremely dubious premise) that CEOs are amazingly skilled and industry savvy individuals (often overpaid inept grifters in my view) then surely Read would have done a bit of due diligence and being aware of the situation - it's not like Private Eye & Computer Weekly have not produced masses of coverage over the years.
If an employer fancies you for a job they will be often extolling the virtues of the company, and not shouting out all the potential problems.
So implies Read was not fit for purpose as CEO if he lacked the curiosity / diligence to investigate (pre job there was plenty of public data, and who knows what juicy info was available when in the CEO role)
Your average worker (I would hope so, my friends certainly do), going for interviews, for jobs paying a lot less than a CEO (but likely doing a lot more hard work) does some reading around about the company to find any possible red flags, be they financial, ethical, legal actions, whatever (varies on individual, most people would not fancy a financially unsound employer but some people happy to work for a non ethical company)
Complacency and vested interests
After the judgement was handed down, the board's reaction: "the most dreadful complacency … bordering on fearfulness of what might be found if they were properly investigated" is a great summary. It's difficult to believe that anyone senior in the Post Office, including those 'new' appointments, could have been unaware of the oncoming storm. At that point, their main concern was to avoid being tainted, and so they pretended and still maintain ignorance. Probably on advice from their own legal team who have absolutely no interest in matters being concluded.
It stinks, and they should all be ashamed.
It's theft and they are conspirators. Their salaries/bonuses/personal legal fees should be reclaimed as the proceeds of crime.
"neither the Post Office's executive or board were seriously concerned"
I hope that a jail sentence will start to seriously concern them.