POL00257537
POL00257537
FREETHS
Womble Bond Dickinson (UK) LLP Direct dial: I
DX 38517 Direct fax:
Switchboard: I
Southampton 3 Email: james. hi
19 September 2018
Our Ref: JXH/1684/2113618/3/CO
Your Ref AP6/364065.1369
Dear Sirs
THE POST OFFICE GROUP LITIGATION
HORIZON ISSUES TRIAL — DEFENDANT’S DISCLOSURE
We write further to the above.
Date range for Stage 3 disclosure
We are concerned to note that your client has disclosed an extremely limited number of documents,
if any, within the relevant date periods within the various tranches of its stage 3 disclosure. The table
below sets out the number of documents that we believe have been disclosed in the date ranges
listed. Please confirm if our understanding is correct.
Name of Date Total Number of documents disclosed in relevant
Document Set I Received I Number of date period
Documents
09. KELS I 10/05/2018 8,422 Less than 30 documents have been disclosed
Disclosure 10 in each year from 2000-2003
May 2018
07. Horizon I 10/04/2018 169 Limited documents disclosed from 1996-2003:
Disclosure 10 Apr « 1in 1996
2018 © 1in 1997
© 2in 1998
« 4in 1999
* 3in 2000
* 1in 2001
© Oin 2002
¢ _2in 2003
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19 September 2018
Page 2
Name of Date Total Number of documents disclosed in relevant
Document Set I Received I Number of date period
Documents
15. Stage 03] 03/07/2018 14 Limited documents disclosed as follows:
Generic ¢ No documents pre 2014
Disclosure ¢ No documents between 2015 and 2018
Horizon 18/07/2018 5 N/A
Technical
Disclosure_Jul
2018
Additional 18/07/2018 42 Limited documents disclosed as follows:
Horizon ¢ 1 document in 2000
pegosure ul * No disclosure between 2001 and 2008
Stage 03 I 18/07/2018 119 No information provided
Disclosure 02
Jul_ 2018
Stage 03 I 02/08/2018 3,575 Limited documents disclosed as follows:
Disclosure 03 e No documents prior to 2007
e 2documents in 2007
¢ No documents in 2008
« 5 documents in 2009
« 2documents in 2010
¢ 15 documents in 2011
Stage 03 I 28/08/2018 2,234 Limited documents disclosed as follows:
Disclosure Final « No documents prior to 2008
« 3documents in 2008
¢ 6 documents in 2009
* 3 documents in 2010
* 6documents 2011
Total: 14,580
Please set out the process that your client undertook in identifying, reviewing and disclosing relevant
documents for Stage 3 Disclosure, pursuant to these categories of documents, in particular, confirm
why there appears to be such a limited number of documents disclosed in each stage during relevant
periods (as highlighted in the table above).
Third Party Reports
We note that your client has disclosed a number of audit reports produced by Ernst & Young, from
2011 (POL219214 / POL219218), 2012 (POL-0219403) and 2016 (POL218775), presumably
pursuant to paragraph 53(6) of the Generic Defence.
We note that the 2011 report in fact states “the main area [Ernst & Young] would encourage
management focus on in the current year is improving the IT governance and control environment’
and sets out the “risk [in relation to Horizon specifically] that users may inappropriately or accidentally
use the access leading to loss of application or data integrity’. The 2016 report prioritises
“reconciliation of Horizon and IPSL” to help to deal with fraud, relating to which it is stated there is a
“strong possibility’ of reoccurrence.
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19 September 2018
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We would be grateful if you could now disclose the annual reports, produced by Ernst & Young or
otherwise, for each year since the introduction of Horizon, so that the experts and the Court will be
able to consider how the system developed over time.
Whilst reviewing document POL0171022, we note at page 38 that there is a reference to a KPMG
report addressing the “strategic architectural review of the risks and resilience of [Post Office’s] key
IT Services (including but not exclusive to Horizon)” that was to be made available in late June 2012.
Please disclose a copy of this report, which is likely to be relevant to these proceedings, and falls
within the categories of disclosure orders made against the Defendant. Please also disclose any
further audit reports conducted by KPMG (or other professional body) that relate to the architecture
and integrity of the Horizon system.
We note that document POL-0096436 (Business Data Model Guidance) refers to a Detica Report
dated February 2006, which highlights “the need for an approach to meta-data management and
data mystery’. In the event that this document is relevant to the Horizon Issues, please provide
disclosure of the same, or confirm why it is deemed to be not relevant.
Document POL-0219403 (KPMG report) refers at page 53 to a report by Qinetiq of January 2011.
Please disclose a copy of that report.
Document POL-0171022 refers on page 143 (to reports by Cisco and EMC, the findings of which
had been shared with Post Office. Please provide disclosure of those reports. We would also record
the fact that of the 222 pages comprising POL-0171022, 218 pages have been redacted, leaving
only 4 pages readable. You have previously refused our request to reconsider your approach to
substantial redactions across broad parts of the Defendant's disclosure.
Further disclosure
We note from document POL-0171024 that the counter capability experienced five “major incidents”
in the previous 12 months. Please provide disclosure of documents related to these incidents.
Document POL-0217341 refers on page 2 to “800 issues” being investigated. Please provide
disclosure of documents relating to the nature and extent of those issues.
Fujitsu Advice
We note that document POL-0216236 records that Fujitsu advised Post Office for several years to
upgrade POLSAP, which was declined by Post Office as a result of budgetary considerations. Please
provide a copy of this underlying advice from Fujitsu.
Document versions
Please find the enclosed schedule of documents disclosed by the Defendant which fall within the
various categories of disclosure orders made. Each of these documents has a version number
associated with it. It appears that in most cases, there are a number of versions of these documents,
and not all have been disclosed.
Please now provide disclosure of all outstanding versions of the documents listed in the enclosed
schedule.
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We have copied the Claimants’ expert into this correspondence for his information, and we suggest
that you also provide a copy to Dr Worden.
Yours faithfully
frodshi?
Freeths LLP
Please respond by e-mail where possible
cc. Jason Coyne, IT Group