Group litigation against Post Office in Horizon system dispute prepares for next stage

The legal team hired by a group of subpostmasters who believe they have been wrongly punished because of flaws in the Post Office computer system will take their case to the next stage in January.

Earlier this year, the Justice for Subpostmasters Alliance (JFSA), working with Freeths Solicitors and Henderson Barristers Chambers, issued High Court proceedings against the Post Office. It wants justice and compensation for subpostmasters that it believes have been wrongly prosecuted, fined and have had to repay losses that were unexplained.

In 2009, Computer Weekly revealed the stories of these subpostmasters, who had received heavy fines and even jail terms for alleged false accounting – which they blamed on the Horizon system and supporting processes. The Post Office has vehemently denied this claim. (See timeline below for more)

The legal teams for both parties are already involved in detailed communications in parallel with the High Court proceedings and January 26  will see a hearing for a group litigation order (GLO), for which the JSFA legal team has applied.

This will not decide the outcome of the case, but the full-day hearing is an important procedure to help the court to manage a large case.

If the GLO is granted, the court will set out a timetable for the case and appoint a High Court judge. It will also present another opportunity for other people to join the action and become claimants.

In response to previous Computer Weekly articles, the Post Office said: “It remains the case that more than three years of investigations have not identified any transaction caused by a technical fault in Horizon which resulted in a postmaster wrongly being held responsible for a loss.”

Separately, the Criminal Cases Review Commission is also reviewing prosecutions for account shortfalls, which subpostmasters blamed on Horizon. This ongoing review is looking at 30 claims of wrongful prosecution.

Post Office Horizon: Timeline of events

• May 2009: Bankruptcy, prosecution and disrupted livelihoods – postmasters tell their story.
• September 2009: Postmasters form action group after accounts shortfall.
• November 2009: Post Office theft case deferred over IT questions.
• February 2011: Post Office faces legal action over alleged accounting system failures.
• October 2011: 85 subpostmasters seek legal support in claims against Post Office computer system.
• June 2012: Post Office launches external review of system at centre of legal disputes.
• January 2013: Post Office admits that Horizon system needs more investigation.
• January 2013: Post Office announces amnesty for Horizon evidence.
• January 2013: Post Office wants to get to bottom of IT system allegations.
• June 2013: Investigation into Post Office accounting system to drill down on strongest cases.
• July 2013: Post Office Horizon system investigation reveals concerns.
• October 2013: End in sight for subpostmaster claims against Post Office’s Horizon accounting system.
• October 2013: Former Lord Justice of Appeal Hooper joins Post Office Horizon investigation.
• November 2013: 150 subpostmasters file claims over ‘faulty’ Horizon accounting system.
• September 2014: Fresh questions raised over Post Office IT system’s role in fraud cases.
• December 2014: Members of Parliament (MPs) blast Post Office over IT system investigation and remove backing.
• December 2014: Why MPs lost faith in the Post Office’s IT investigation, but vowed to fight on.
• December 2014: MPs to debate subpostmaster IT injustice claims.
• December 2014: MP accuses Post Office of acting ‘duplicitously’ in IT investigation.
• January 2015: MPs force inquiry into Post Office subpostmaster mediation scheme.
• January 2015: Post Office faces grilling by MPs over Horizon accounting system.
• February 2015: Post Office CIO would talk to any subpostmaster about IT problems, promises CEO.
• March 2015: Post Office ends working group for IT system investigation day before potentially damaging report.
• March 2015: MPs seek reassurance over Post Office mediation scheme.
• March 2015: Retiring MP aims to uncover truth of alleged Post Office computer system problems.
• April 2015: Post Office failed to investigate account shortfalls before legal action, report claims.
• April 2015: Criminal Courts Review Commission set to review subpostmasters’ claims of wrongful prosecution.
• May 2015: IT system related to subpostmaster prosecutions under review by CCRC.
• June 2015: Post Office looking to replace controversial Horizon system with IBM, says MP.
• July 2015: Campaigners call for independent inquiry into Post Office Horizon IT system dispute.
• October 2015: James Arbuthnot takes Post Office IT fight to House of Lords.
• November 2015: The union that represents Post Office subpostmasters has warned of a problem with the Horizon accounting system.
• November 2015: An email from Post Office IT support reveals a problem with the Horizon system and supporting processes that could lead to accounting errors.
• November 2015: Group litigation against Post Office being prepared in Horizon dispute.
• February 2016: Post Office faces group litigation over Horizon IT as subpostmasters fund class action.
• June 2016: Post Office chairman Tim Parker says there would be ‘considerable risk’ associated with changing its Horizon computer system.