POL00060428 - Email chain from John Breeden to Ged Harbinson, Graham C Ward , Paul Southin and others re: Fw: Ibstock Post Office.

Evidence on official site

John Breeden

29/01/2010 20:29

Ged Harbinson/ej GRO Graham C

Paul Southin/e.w.
Chester/el Paul X Williams/e

ce: Mandy Talbot/el

Subject: F Ibstock Post Office

Please see the email below I received from Mr Rudkin at Ibstock yesterday
and my response to this email which has been reviewed by Mandy prior to

sending.
Regards

John

John Breeden
National Contract Manager North
Post Office Ltd - Network Support

2nd Floor, The Markets Crown Office, 6/16 New York Street, Leeds LS2 7DZ

po GRO i

Confidential Information: This e-mail message for the sole use of the

intended recipient (s) and may contain confidential and privileged
information. Any unauthorised review, use, disclosure or distribution is
prohibited. If you are not the intended recipient, please contact me by

reply e-mail and destroy all copies of the original message.

----- Forwarded by John Breeden/e/POSTOFFICE on 29/01/2010 20:27 -----
John Breeden

29/01/2010 20:26

"Michael Rudkin"

cer

Subject: Re: Ibstock Post Office

Mike,

I thank you for your email below and I am pleased to read you have a

meeting arranged with representatives from your bank, Lloyds TSB, next

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week to discuss and hopefully resolve the financial predicament you are

currently experiencing.

Taking the points you make below in turn:-

- budget cashflows - I have received the information provided and reviewed
this information for the different scenarios presented. Whilst this
information provided a clear indication of the budget for both income and

expenditure it did not show me details of the actual income and

expenditure and therefore it was difficult to ascertain if the predicted

figures were achieved or not. Additionally the calendarisation of these
figures appeared to be undertaken by dividing the full year figures by
either four or twelve to obtain quarterly and monthly calendarised

figures, I am not sure if this is what would happen

reality as I would

have thought there was some seasonal/monthly variation in these figures.

- with regard to the period where you were suspended and the loss of
remuneration over this period, the date of suspension being 20/8/08 and
the date of reinstatement 12/11/08, the duration of suspension being 12

weeks. I know you allowed the post ice to continue to trade over this

period with a temporary Subpostmaster being appointed - what I am unable
to determine from the figures is the income that you received from the
temporary Subpostmaster during this period for the use of the premises. I
have no details of the commercial arrangement between yourself and the
temporary Subpostmaster, which is understandable as Post Office Ltd was
not party to this commercial arrangement, nor am I able to ascertain who
was paying the staff costs for the people who worked in the post office.
Normally when a temporary Subpostmaster is allowed to work in a branch
they would pay a rental payment for the use of the post office area to the

suspended Subpostmaster and pick up any associated costs eg staff costs,

for any losses incurred etc. Depending upon the terms of the
agreement you came to with the temporary Subpostmaster whilst I understand
the gross loss of remuneration could have amounted to the figure you have

quoted the net amount will have been less.

- in respect of withholding remuneration for the period of your

suspension. The contractual clause appropriate to this is section 19 of

the Subpostmasters contract. (Section 19 para 6) provides that the
decision whether or not to pay any remuneration is assessed at the time
the decision is taken to terminate or reinstate your contract. In this
case the assessment was made not to pay remuneration given the

circumstances of the case, this decision was not challenged at the time.

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I think also it is worthy to note that if the decision had been made to
pay remuneration for the period of suspension the remuneration paid is
less any rent and other expenses which may have been received by the

Subpostmaster in respect of the continued use of the premises.

- whilst I realise Mrs Rudkin is being dealt with through the courts for
the loss which is in accordance with section 19.1 I think we should also

not lose sight of the fact that in section 12 para 12 of the Subpostmaster

contract it does state that a Subpostmaster is responsible for all losses

through is own negligence, carelessness or error and also for losses of
all kinds caused by the Subpostmasters assistants and that these losses

must be made good without delay. At the present time with the arrangement
to deduct £1k per month from your remuneration an amount of £29,925.57 is

current outstanding and you have paid the sum of £14,000.

I hope the above clarifies the points you have raised and I hope the
discussions with both the bank representatives and your financial advisors

ASC achieve a satisfactory conclusion so we can get this matter resolved.

Regards

John

John Breeden
National Contract Manager North

Post Office Ltd - Network Support

2nd oor, The Markets Crown Office, 6/16 New York Street, Leeds LS2 7DZ

B GRO I:

GRO

Confidential Information: This e-mail message

for the sole use of the

intended recipient (s) and may contain confidential and privileged
information. Any unauthorised review, use, disclosure or distribution is
prohibited. If you are not the intended recipient, please contact me by

reply e-mail and destroy all copies of the original message.

GRO

"Michael Rudki:

28/01/2010 1
zo: I GRO i

ce:

Subject: Ibstock Post Office
Dear John

I have a meeting scheduled for the 4th February 2010 with Lloyds TSB
managers at Ibstock Post Office.

Mr. Tom Wadsworth my bank manager is bringing his head of area Mr. Peter
Wilkinson to see what assistance can be given to resolve my financial

predicament and one of the questions posed in the agenda for the meeting

relevant to POL

Lost income £21K - salary?

During my suspension I had to place all the business and living
expenditure (mortgage, utilities etc) on credit cards to which I am
endeavoring to consolidate all borrowings with the assistance of the
banks. One of the main financial stumbling blocks is the loss of £21k in

income from POL and I know for sure the question not asked directly but

alluded to in the agenda "Lost income £21K - salary?" Is their any
possibility that Post Office Ltd will reconsider its position and
reimburse the £21K as a result of my being reinstated and the person
responsible for the shortage has been dealt with through the courts and

convicted?

In the main I feel I know the reply John (SPMR Contract - Section 19:1 &

:6) but I must ask none the less.

I trust you received the Budget Profit & Loss calculations John and the

difference it can make to me at achieving my objectives.

I have agreed to refund POL it losses and have also now agreed with the
bank the best way to move forward is to place the full assets known as
Ibstock Post Office & Newsagents 118/120 High Street - into my sole name

and all bank accounts for the business.

With the assistance of the bank, POL and your continued support John we
can make this work - however if POL and/or the bank don't see a future for

me within the industry/leased or other wise I am sunk.

I politely request an early reply so as to address as many of the 15

questions the bank has presented me with.

Furthermore I have independent financial advisors ASC assisting me to
resolve the situation John and having provided them with all relevant
information they too should be able to give me the next step to take in

concluding this matter

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I politely request an early reply so as to address as many of the 15

questions the bank has presented me with please.

Kind Regards

Michael Rudkin

Ibstock Post Office & Newsagents

118/120 High Street

Leicester LE67 6Ld