POL00119086 - Karen Wilson (Julian Wilson) Criminal Case Study: Report on Audit of Post Office at Astwood Bank, Branch Code 346246 - from Glenn Chester to David Patrick

Evidence on official site

IN CONFIDENCE

POL00119086
POL00119086

To:

From:

cc:

Glenn Chester
Contracts Advisor

David Patrick
Senior Auditor

Investigation Team
Manager

Steve W R Taylor
Business
Development
Manager

Network Compliance
Audit Manager

Outlet Intervention
Team

Date: 11 September
2008

Audit of Post Office@Astwood Bank, Branch Code 346246.

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in the 11"

Sep'

the above named branch.

tember 2008, acc
colleagues Kevin Watkins and Faith Lavender, I conducted an audit of

mpanied by my

The purpose of this audit was to verify financial assets due to the Post

Office® and confirm compliance with a range of Business processes

procedures and regulatory requirements.

The audit revealed a shortage in the branch of £ 27,811.98. A
breakdown of the audit result and details of the audit findings are as

follows:

£ 27006.01 (-) Identified as a difference in cash figures
£ 109.70 (-) Identified as a difference in stock figures
= 696.27 (-) Declared discrepancy Wk 24

£ 27 811.98 (-) Total Shortage

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4 I We arrived at the branch at 8am and introduced ourselves to the-
Pestmaste the Subpostmaster Mr Julian Wilson when he arrived at
approximately 8.15 am and advised that we were to perform an audit
on behalf of Post Office Ltd®.

Mr Wilson allowed us access to the secure area, and was present in
the secure area whilst the audit was carried out.

I contacted the Network Business Support Centre (NBSC) at
approximately 8.15 am and advised that an audit would be performed
at the branch, and that it would remain closed until its conclusion. The
nominated branches offered were: Crabs Cross, Alcester and Studley
and a notice placed on display at the branch detailing this information.

At the commencement of the audit Mr Wilson informed me that there
would be a shortfall in the cash of around £27k. He said that this was
shortages accumulated at the branch over the last 5 years or so. He
had been inflating the cash figures in order that the office show a
balance each month

I produced an office snap shot. The ‘office snapshot’ is a Horizon
generated report that details the cash and stock on hand that should
be present at the time it is printed, in addition to the business
transacted through the branch during a ‘said period’.

I produced a report of the amount of cash declared as on hand by the
branch on the night prior to the audit and noted the cash shortfall of
£27 006.01 after a physical count was undertaken by my colleagues
Kevin Watkins and Faith Lavender.

A shortfall was also noticed in the stock figure of £109.70.

Mr Wilson was then advised that he should satisfy himself that the
figures of the audit team were correct. Therefore, we then confirmed all
differences with Mr Wilson and he confirmed the audit shortage.

I telephoned yourself at 8.30 am to report a preliminary suspected
shortage of approximately £27k and that I would ring you back with the
final figure once I had completed the audit. This I did at 11.00 am to
report an overall shortage in the branch of £27 811.98.

I also notified Graham Brander, Fraud Advisor Team manager and
subsequently Gary Thomas, Fraud Advisor at about 12 noon to relay
these findings.
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The decision was then taken to precautionary suspend Mr Wilson at
13.00 pending further investigation.

A final account was prepared and the branch rolled into the next
balance period. The deficiency was put to the Late Account.

An interim manager, Mary Stewart was put in charge at the branch with
all assets transferred to her colleague Sue Wallace on day of audit.
The audit and subsequent transfer of the branch was concluded at
4.45/pm.

I advised the NBSC that the branch would be re-opening on Friday 12"
September at 9am..

No Compliance Tests were carried out at this audit.

If you require any additional information, please contact me on the
telephone number below

David Patrick

Senior Auditor

Track Changes

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shirley.hailstones, 24/05/2006 10:38 AM
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shirley.hailstones, 24/05/2006 10:45 AM

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