POL00030562
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OFFICE ,
Post Office Ltd
LOSSES POLICY - OVERARCHING
(BRANCHES)
AUTHORS NOTES:
Outstanding actions — as agreed at last Branch Control meeting:
1.
2.
Rename appendix 5 “Process for seeking relief on losses (write off or
instalments) — singletons” — need to agree with Lynn Hobbs
Appendix 10 — “Process for losses at Directly managed branches” to be
included — Paul Patterson to provide
Ownership, change control & communication of document to be
confirmed — Rod following meeting with Dave Miller
Appendix 7 “Process for remittance disputes — bureau” to be included —
Sandra Murray / Hilary Mills-Williams to send
Appendix 12 — Provide process for forged sterling notes — Hilary Mills-
Williams & Sandra Murray
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CONTENTS
AUTHORS NOTES: .0...cccccececcccec esse eee ceeeeseecceeeeeeeseeeeeeeeeeeeneees
Outstanding actions — as agreed at last Branch Control meeting.
1. Rename appendix 5 “Process for seeking relief on losses (write off or instalments) —
singletons” — need to agree with Lynn Hobbs
CONTENTS ............
Document Information
Version control
Circulation
SECTION 1 —- SCOPE AND EXCLUSIONS
SECTION 2 -LIABILITY «0... ceesteceeeeteeeees
SECTION 3 — PREVENTION OF LOSSES/SUPERVISORY CONTROLS
SECTION 4 — COMMUNICATION...
Appendix A .
LOSSES ( ) = supporting processes
1. Policy for Handling Burglary & Robbery Losses Within the Agency
Network oon cece cec ccc ceeeseeeeeeeeeeeeeeeeseeeeseneensenessssseesnssnteeteetesesseeeesenesessetseneeneeneeeees 6
Liability for losses Multiples and Franchisee.
Process for awaiting TC — Multiples
Process for awaiting TC — singletons
Process for seeking relief on losses — singletons
Process for remittance disputes — cash...
Process for remittance disputes —Bureau .. ..
Process for Counterfeit note 1OSS€S 0... .ecceeceeeeeeeseeesseesseeeseseesseeetseees 7
g. Process for dealing with discrepancies revealed at audit (extracted
from The Audit Process Manual) 00.22... cece ccsceseeeseeseeseeseeseeseeeneeseseneeteseeeeeens 7
10. Process for losses at Directly Managed Branches.............0..0.0.22 7
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Document Information
Title Losses Policy for Post Office Limited branches
(Registered trademark not needed after Post Office
Ltd)
Category Standard
Subject Treatment of branch trading losses at Post Office®
branches
Version 09
Control
Author Marie Cockett, Branch Accounting and Control
Manager, Product & Branch Accounting
Owner Dave Miller, Chief Operating Officer
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Managed by Lynn Hobbs, GM Service
Purpose To document the overarching policy for losses at
branches
Audience
Full circulation, including NFSP
Privacy level Commercial Confidentiality
Document Post Office Sans 14
format
Document type I Electronic (MS Word. Doc),
Effective date I April 2006
Review date September 2006
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Approval
Business V2 of the previous Liability for losses August 2005
input Policy, Geoff May, Rod Ismay, Martin
Ferlinc, Tony Utting, Sandra Murray, Sean
Farrow,
Assurance __I Victoria Noble,
Authorised _I Rod Ismay
Version control
Completely revised as a result of the
implementation of Branch Trading and
1 Draft business requirements to implement a set of December 06
policies for various branch types.
11 Second draft for branch control forum December 05
2 Draft Third draft for branch control forum December 05
3 Draft Fourth draft for branch control forum December 05
4 Draft Fifth draft for branch control forum December 05
Updated with comments received from Rod
5 Draft Ismay and page numbers, contents & 30" Dec 2005
appendices added
Updated following review and further th
6 Draft appendices added 10" Jan 2006
Updated following review, further appendices th
7Draft I added & circulation box included 19" Jan 2006
Updated following review, further appendices th
8 Draft added & circulation updated 27" Jan 2006
9 Draft Updated with actions and appendices 215‘ Feb 2006
Circulation
ame ¢
Rod Ismay Head of Risk & Control
Martin Ferlinc National Branch Audit
Paul F Williams Agency Contract analyst
Jeanette Brown Head of Cash Inventory, Cash services
Paul W Patterson
branches
Area Service Manager, directly managed
Eddie Jarman
Overseas Travel Products Manager
John M_ Scott National Security Manager
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revention manager
Len Clay Network security policy and standards
manager
Sandra Murray Head of financial control taskforce
Hilary Mills-Williams Bureau de change operations manag
Dave Miller Chief Operating Officer
Lynn Hobbs General Manager, Service
Vicky Noble Head of Product & Branch Accounting
Carol King Branch Control & Conformance Manager,
P&BA
Carola Ramsden Service Standards Support Manager
Ric Francis Operations director, Sales & Service
Debra Lewis HR business partner
Tobi Manikin Employment Law manager
Geoff May Area Service Manager
SECTION 1 — SCOPE AND EXCLUSIONS
This policy defines Post Office Ltd’s actions in respect of losses associated
with cash, cheques and transactional stock (whether in branches, in transit or
in central processing locations) and in respect of the counter transactions or
remittance transactions themselves. It also considers assets, in branches,
that have been partly or fully paid for by Post Office Ltd.
Other potential liability situations, for example invoices, customer complaints,
client charges/penalty payment and personal injury are outside the scope of
this document, and would be subject to the relevant terms and conditions in
product literature and agent contracts.
For purposes of this document, agent shall be considered to include
franchisee and multiple within its meaning.
SECTION 2 -LIABILITY
In general, agents are liable for all losses, including counterfeits, under
their contractual responsibility. DMB staff are covered by the conduct
code.
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For branches, there are separate liabilities clauses for agents, in line with
their contractual responsibilities, and DMB staff. These are recorded in
separate documents.
Post Office Ltd shall formally consider the balance of risk and liability between
itself and its clients and/or other parties such as joint venture vehicles, in
agreeing contract terms.
It shall also seek to minimise liability risk through cost effective product and
process design.
SECTION 3 —- PREVENTION OF LOSSES/SUPERVISORY CONTROLS
It is the responsibility of the agent /branch manager to ensure that the
accounting and operational procedures and practices employed in the branch
conform to the current business standards. It is their responsibility to
exercise satisfactory supervisory controls to ensure that this is the case and
to provide advice, guidance and instructions to their staff.
For branch managers at directly managed branches, it is mandatory they
have a programme of surprise supervisory checks on all stock units (both
individual or multi-user stocks). Branch managers must ensure that each
stock unit is checked at least once in a rolling six-month period or once ina
three-month period, where the stock is held by a single clerk. Such checks
are advisory for the agency network.
SECTION 4 - COMMUNICATION
This policy and the supporting processes outlining how the policy around
contractual liability will be deployed are communicated to the relevant third
parties as appropriate. (See Appendix)
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Appendix A
LOSSES POLICY (BRANCHES) - supporting processes
1. Policy for Handling Burglary & Robbery Losses Within the Agency
Network
Version: 3.5 (31_05_05)
Owner: Len Clay
“Burgkary &Robbery
Losses Poligy ~ Ver 3.
2. Liability for losses Multiples and Franchisee
Version: 1
Owner: Paul Williams
a
“Liability for losses
Multiples and Franchi
3. Process for awaiting TC - Multiples
Version: 1, 15/12/05
Owner: Marie Cockett
Note. This currently only applies to National Multiples, but we are
looking to roll this out for Local Multiples, later this year.
4. Process for awaiting TC — singletons
Version: 1, 15/12/05
Owner: Marie Cockett
“Processes for
‘awaiting TC - Singleto
5. Process for seeking relief on losses — singletons
Version: 1
Owner: Lynn Hobbs
“Processes for
seeking relief on losse
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6. Process for remittance disputes — cash
Version: 1, 15/12/05
Owner: Sandra Murray
a
“process for
Remittance disputes -
7. Process for remittance disputes —Bureau
Version: Owner: Hilary Mills-Williams
NB. This process is still under review
8. Process for Counterfeit note losses
Version:1
Owner: Eddie Jarman
a
)
“Counterfeit Nate
Losses.doc’
9. Process for dealing with discrepancies revealed at audit (extracted
from The Audit Process Manual)
Version: 1
Owner: Martin Ferlinc
“Dealing with
discrepances reveale
10. Process for losses at Directly Managed Branches
Version:
Owner: Paul Patterson
To be developed and agreed
11. Process for Counterfeit losses — Foreign Curreny
Version:
Owner:
To be developed and agreed
12. Process for Counterfeit losses — UK Sterling
Version:
Owner:
To be developed and agreed
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