There was something deeply wrong with the Post Office’s compensation scheme, as one victim only received £15.75, explained tax expert.
Dan Neidle – lawyer and founder of Tax Policy Associates – wrote in an article the Post Office spent years fighting compensation claims in the courts, “using every trick in the book to draw things out as long as possible”.
His focus was on the Historical Shortfall Scheme (HSS), which compensates postmasters who were not actually convicted of theft, but who were accused of theft, lost their jobs, threatened with prosecution, and forced to repay cash “shortfalls” which in fact were entirely fictitious.
Neidle noted that are about 2,750 HSS claims, with the average settlement payment so far is £32,000.
Neidle detailed nine ways how the Post Office minimise payouts which included forcing older postmasters to go through a complex legal process.
Other ways he claimed was the Post Office made sure the postmasters didn’t receive legal advice when they complete the form, which he noted is really a “complicated legal claim”.
He also noted the Post Office “intimidate postmasters into silence” in order to stop them discussing their settlement offers with each people and the with the media.
Neidle referred the Post Office’s legal team to the legal regulators, the Solicitors Regulation Authority, last May, claiming the Post Office and Herbert Smith Freehills breached SRA principles by telling people that their offers were confidential.
He warned that the HSS compensation scheme isn’t fit for purpose, highlighted that it has become just “one more entry in the sordid list of Post Office failures and obfuscations.”
He explained that it should be replaced, but noted that “it is too late for that”. There has been 2,400 original applications, with only 23 awaiting offers, and 200-300 pending offers.
