David Cameron government ‘knew secret Post Office probe that could have cleared innocent postmasters was ditched’

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Ministers in David Cameron’s administration had been instructed that Post Office bosses had dropped a secret investigation that might have helped to show postmaster’s innocence whereas persevering with to disclaim that the Horizon pc system was defective, it has been claimed.

A 2016 inside investigation into how and why money accounts on the Horizon IT system had been tampered with – which spanned 17 years of information – was immediately dropped after postmasters started authorized motion.

According to the BBC, ministers in Mr Cameron’s administration had been instructed Post Office bosses had dropped the inquiry – whereas denying Horizon pc system was defective.

Despite the investigation, the organisation nonetheless argued in court docket, two years later, that it was inconceivable for Fujitsu to remotely entry subpostmaster accounts.

More than 700 department managers had been prosecuted by the Post Office between 1999 and 2015 after defective Horizon accounting software program made it look as if cash was lacking from their outlets.

Hundreds of subpostmasters and subpostmistresses are nonetheless awaiting compensation regardless of the government asserting that those that have had convictions quashed are eligible for £600,000 payouts.

But the most recent revelations elevate questions as to how lengthy ministers had been conscious of the potential for distant entry and why the government did nothing to stop the Post Office from saying that Fujitsu could not alter department supervisor’s accounts.

Documents obtained by the BBC present how the secret 2016 investigation into Fujitsu’s use of distant entry had come out of a overview by former high Treasury lawyer Jonathan Swift QC, which had been accredited by the then-business secretary Sajid Javid.

But in June that 12 months, when sub-postmasters launched their authorized motion, the government was instructed by means of Post Office minister Baroness Neville-Rolfe that the investigation had been scrapped on “very strong advice” from the senior barrister representing them.

There isn’t any proof within the paperwork that then-prime minister Mr Cameron personally knew concerning the investigation or that it had been ditched.

The revelations observe a collection of explosive interactions between the previous Post Office chairman, Henry Staunton and present enterprise secretary, Kemi Badenoch, as Mr Staunton accused Ms Kemi Badenoch of creating “an astonishing series of claims” and mischaracterisations after she instructed MPs he had unfold “made-up anecdotes” following his dismissal.

The former put up workplace boss has mentioned that he had been instructed to stall compensation payouts for postmasters affected by the Horizon scandal.

In a press release to the Commons, the enterprise secretary mentioned there was “no evidence whatsoever” of his account and branded it “a blatant attempt to seek revenge” for his sacking.

She additionally claimed he was being investigated over bullying allegations earlier than he was fired as chairman, and that considerations had been raised about his “willingness to co-operate” with the probe.

Hitting again afterward Monday, a spokesperson for Mr Staunton mentioned Ms Badenoch had made an “astonishing series of claims” concerning the saga.

In a press release given to reporters, they mentioned he had recorded the remark about delaying compensation “at the time in a file note which he emailed to himself and to colleagues and which is therefore traceable on the Post Office Server”.

In relation to the alleged bullying investigation, the spokesperson mentioned: “This is the first time the existence of such allegations have been mentioned and Mr Staunton is not aware of any aspect of his conduct which could give rise to such allegations.

“They were certainly not raised by the Secretary of State at any stage and certainly not during the conversation which led to Mr Staunton’s dismissal. Such behaviour would in any case be totally out of character.”

Mr Staunton, who was sacked by the enterprise secretary final month, had used a Sunday Times interview to recommend that the alleged request to delay payouts was linked to considerations about the price of Horizon scandal compensation heading into the election.

Ms Badenoch had mentioned allegations regarding Mr Staunton’s conduct, together with “serious matters such as bullying”, had been being examined and considerations had been additionally raised about his “willingness to co-operate” with the formal investigation.

Speaking within the Commons, she additionally described it as “so disappointing that he’s chosen to spread a series of falsehoods, provide made-up anecdotes to journalists and leak discussions held in confidence”.

Ms Badenoch mentioned it had confirmed in her thoughts that “I made the correct decision in dismissing him”.

For Labour, shadow enterprise secretary Jonathan Reynolds mentioned ministers should guarantee claims the government had appeared to stall Horizon compensation funds are “shown to be false in no uncertain terms”.

He mentioned: “Yet we do now have two completely contrasting accounts, one from the chairman of the Post Office, and one from the Secretary of State, and only one of these accounts can be the truth.”

Ms Badenoch reiterated her denial of the claims and mentioned: “There would be no benefit whatsoever of us delaying compensation.

“This does not have any significant impact on revenues whatsoever. It would be a mad thing to even suggest, and the compensation scheme which Mr Staunton oversaw has actually been completed, and my understanding is 100 per cent of payments have been made, so clearly no instruction was given.”

Environment secretary Steve Barclay has given his backing to the enterprise secretary and mentioned that the government is targeted on securing justice for subpostmasters caught up within the Horizon scandal.

He instructed Times Radio that Ms Badenoch is “someone who has an absolute commitment to doing the right thing by those who have suffered what is one of the biggest miscarriages of justice that our country has seen, and also in terms of the importance of statements to the House of Commons. That is something that any minister making a statement takes extremely seriously.”

Asked if he believed Kemi Badenoch, he replied: “Yes.”