Type to search

Post Office fixes technical trouble causing accounting mistakes in Horizon


Post Office fixes technical trouble causing accounting mistakes in Horizon


The Post Office has diagnosed and stuck mistakes in its returned-office machine but has warned sub-post managers to avoid troubles.

Computer Weekly suggested the remaining week that a subpostmaster had diagnosed the trouble in which coins being widespread via the department from the Post Office coins center turned into now not being correctly recorded inside the Horizon retail and accounting system used by sub-post managers.

accounting mistakes

The process of accepting cash, the REM (remittance) system, is automated. When a branch worker scans the barcode on a pouch of coins, it’s far robotically recorded in Horizon.

But the subpostmaster discovered that although £20,000 in coins – £2,000 in £5 notes and the relaxation a combination of £10 and £20 letters – had been scanned in, most effective £2,000 seemed on Horizon. This might have left him £18,000 in surplus, and the Post Office down with the aid of this quantity had he now not known the organization.

After a failed try, the subpostmaster emailed the Post Office CIO and discovered the trouble with the helpline and its economic department in Chesterfield.

The Post Office has investigated the problem and said in a communique with its department network: “We have traced the problem, which changed into occurring due to a technical timeout between systems as the pouch statistics transferred from our cash deliver chain device into Horizon. We accept as true that it is now absolutely resolved but will hold to display.”

The Post Office thanked the subpostmaster for alerting it to the hassle and warned sub-post managers to keep vigilant while booking in coins.

The hassle emerged at some stage in a High Court case that becomes analyzing the Horizon device’s alleged function in sub-post managers being wrongly prosecuted and fined for accounting shortfalls. The argument is part of a multimillion-pound organization litigation order delivered by 550 sub-post managers, which has already seen trials, with more planned over the following year (see the timeline below for a complete tale).

During the preliminary trial last November, which focused on the contractual relationship among sub-post managers and the Post Office, Post Office director Angela van den Bogerd said in court that the Horizon system had made mistakes that the Post Office was accountable for correcting, however, admitted that it did not always have to inform its subpostmaster community approximately the errors.

Van den Bogerd said the Post Office could have inforsub-post manage rosters approximately inevitable mist. Howeverever, they no longer.

Mark Baker, postmaster branch secretary at the Communication Workers Union, who helped unearth the problem, stated: “The Post Office had no concept approximately it. If the subpostmaster had carried out what the guide said and settled to coins, the subpostmaster could take the cash out of bodily stock and hold it.

“But that would be immoral and doubtlessly unlawful, so my advice to subpostmasters is: don’t settle to cash; settle centrally.”

The plight of a few sub-post managers was first reported in 2009, while Computer Weekly revealed that the lives of a few had become upside-down when they were fined, sacked, made bankrupt, or even imprisoned due to unexplained accounting shortfalls. They blamed Horizon’s accounting and local machines for the problems. However, the Post Office has refuted this. FIt is. It is a specialized vicinity of accounting exercise that describes engagemethathich results from actual or anticipated disputes or litigation. The “forensic” approach is “appropriate for court.” Forensic accountants must remember this announcement even as they should paint or chalk out their program. The F.A. work is tailor-made in line with the scenario and want. Gathering facts and evidence is executed consistent with the wish and situation. We can say it is customized in step with the state of affairs. Forensic accountants give expert testimony on the final trial.

Eula Boone

I have written professionally since 2010 and have been an investor since 2015. My finance blog, economydiva.com, is one of the most visited blogs in the world, with more than 3 million readers a month. I love sharing what I know about investing, saving, and managing money and providing practical tips on how to be a smart and savvy money manager.