POL00105472 - Email from Susan Crichton to Alice Perkins and Paula Vennells re Horizon Version 2 & Draft Terms of Reference attached.

Evidence on official site

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Alwen Lyons

From: Susan Crichton

Sent: 07 June 2012 18:55

To: Alice Perkins; Paula Vennells

Cc: Alwen Lyons; Lesley J Sewell; Simon Baker
Subject: TOR

Attachments: Horizon Version 2.doc

Alice and Paula — attached is a redraft of the TOR, hopefully this picks up the issues raised this morning.

In addition, and following a review of the cases listed, which I had not seen this before, I have been giving some further
thought to our position particularly in respect of the cases where we have criminally prosecuted the sub
postmaster/mistress. In those cases I do not think that we want to be seen as re-opening the cases but rather position
this as a review of the existing evidence to enable an understanding of the outstanding concerns and the facts in so far as
they concern the Horizon system. For those who have not been prosecuted we can offer a full independent
investigation.

@ The overall outcome would be a general conclusion which critically reviews the evidence already in existence and new

evidence from the work done by the independent forensic auditor.
If you agree with the above then the TOR would need to be slightly amended to take this into account.

Susan

Susan Crichton

Legal and Compliance Director
Post Office Limited

148 Old Street

London

EC1V 9HQ

Telephone!

For those that haven't been prosecuted we can position as a full independent investigation.

The overall report should then be a general conclusion looking at a mixture evidence already in existence (from previous
cases) and new evidence gained from their own investigation to determine whether there are any systemic Horizon
problems.

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[ Draft — Post Office Limited — Strictly Confidential

Terms of Reference

Post Office Ltd — proposal for an independent review

Objectives & Scope

The Post Office has instructed an independent third party organisation, 2nd Sight Limited to conduct a
review of existing cases where concerns have been raised by MPs, and all the cases where Shoesmiths
have issued proceedings.
This review would include the following:
A review of all company-held documentation focussing heavily on probable reasons why shortfalls.
occurred or built up,
Interview company investigators to gain insights and to verify fairness of findings,
Review defence submissions focussing on evidence of innocence,
Try to establish why the shortages arose,
Review all materials from the viewpoint of the Defence,
Study and selectively test, the ‘Horizon’ system, to the extent possible given the change in systems
Reach conclusions on each case and identify any systemic issues/concerns
Meet with any MP, sub postmaster/ mistresses plus legal representatives if required.

Information independent investigators

2nd Sight Limited investigators have extensive knowledge of complex financial computer systems; Ron
Warmington, is a Director of 2% Sight and is a Fellow of the Institute of Chartered Accountants and a
member of the Association of Certified Fraud Examiners. He spent 35 years working for two of the
world’s largest banks latterly specialising in forensic fraud investigations. His fellow Director is lan
Henderson, is also a Chartered Accountant, IT Auditor and a Forensic Computer Examiner. He has
worked. His previous roles have included Head of Investigations at the Personal Investment Authority
and prior to that he held a number of roles with Lloyds of London. .

Timescales and Costs

It is anticipated that the review will commence in late June or early July, and that Post Office Limited
would be in a position to publish its findings in the autumn.

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