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Rishi Sunak is being urged to halt any new public contracts with Fujitsu, following revelations that the company has been awarded billions in government deals despite being aware of its role in the Horizon scandal.
The government has a proposed solution to reverse the unjust convictions of Post Office employees, according to Postal Minister Kevin Hollinrake. He has promised that an announcement will be made soon.
As attention shifts to the company involved in the controversy, it is worth noting that Fujitsu’s flawed accounting program, Horizon, played a role in the prosecution of over 700 Post Office branch managers.
Nadhim Zahawi, a former member of the Tory cabinet, stated that Fujitsu should not receive preferential treatment for contracts anymore, as concerns continue to arise about the government’s decision to maintain its relationship with the company.
Senior MPs from the Labour and Liberal Democrat parties have urged for a suspension on any new agreements with Fujitsu until the company takes responsibility for its involvement in the scandal.
According to Tussell analysts, the company has been awarded nearly 200 contracts by the public sector since 2012, with a total value of £6.8 billion.
According to the Financial Times, Fujitsu has secured £4.9 billion in contracts from the public sector following a 2019 court decision that exposed flaws in its Horizon system.
There are currently 43 active contracts, valued at a combined total of £3.6 billion. These include the Post Office Horizon system contract and the government’s flood warning system.
According to the i, Fujitsu received contracts through expedited channels known as “VIP” priority lanes, also referred to as “framework agreements”. These agreements assist the government in making deals with preferred suppliers.
According to Mr Zahawi, the company should be banned from using priority lanes. He stated, “Fujitsu has not faced appropriate consequences for this significant scandal. They must take responsibility for their role in this disaster.”
Liam Byrne, a prominent member of the Labour party and head of the business select committee, stated that the government should not continue to support or give benefits to those who have failed. He stressed the importance of halting any new agreements with Fujitsu until a thorough investigation has been conducted into this grave injustice.
The business committee has summoned executives from Fujitsu to provide answers next week. However, it is unclear if they will comply. Mr. Byrne stressed the importance of Fujitsu admitting their mistakes.
According to Kevan Jones, a Labour MP and prominent advocate for the cause, Fujitsu must provide a thorough explanation of its involvement and obligations in the scandal before being granted any new contracts.
Liberal Democrats’ representative for the Treasury, Sarah Olney, stated that putting contracts on hold until the public inquiry concludes is the bare minimum action that the government should take.
The government would face significant challenges in disengaging from Fujistu, as the company currently offers IT services to various government divisions such as the Home Office, Foreign Office, Defra, and Ministry of Defence.
These offerings encompass the provision of the Police National Computer, which houses the criminal histories of individuals, and the government’s flood warning system. It also includes the national emergency alerts system that was introduced in March 2023.
Fujitsu has a strong partnership with HMRC and has secured contracts worth over £1 billion, including a recent agreement granted in February 2022.
On Tuesday, No 10 stated that Fujitsu would be held responsible, either through legal or financial means, if the public inquiry determines that the company made a mistake in the Horizon scandal.
The Prime Minister’s representative did not state that the government would cease giving contracts to the company if it was discovered to be responsible – instead, mentioning that the behavior of companies as a whole would be taken into account during the procurement procedure.
When questioned about the potential prosecution of Fujitsu, postal minister Mr Hollinrake emphasized the need to determine whether individuals or organizations are at fault in the public inquiry before any further action, such as legal consequences or financial penalties, can be pursued.
On Wednesday, during an interview with Sky News, Mr. Hollinrake stated that there will be an announcement soon regarding the overturning of Horizon convictions. He also mentioned that the government has found a solution.
On Tuesday, Justice Secretary Alex Chalk announced that they are actively considering introducing legislation to overturn at least 700 convictions in a mass effort.
Mr. Hollinkrake emphasized that the government had been contemplating this method before the ITV show brought attention back to the issue. When asked for proof, Mr. Hollinrake stated on BBC Radio 4 that it is not something they would openly disclose.
The Horizon Compensation Advisory Board, which consists of advocates Kevan Jones and Lord Arbuthnot, will convene at a later time. They have advocated for the reversal of Post Office convictions.
Mr. Hollinrake may attend the midday meeting, where the attendees are likely anticipating an update on any plans to overturn convictions and expedite compensation payments.
The CCRC typically reviews individual convictions and may refer them to the Court of Appeal. However, due to the unprecedented magnitude of the Horizon scandal, it may be necessary to take the extraordinary measure of implementing blanket legislation.
A representative from Fujitsu stated that the ongoing investigation on Post Office Horizon IT is analyzing intricate occurrences that date back 20 years in order to determine who had knowledge of what and when, and how they acted upon that information.
The investigation has further highlighted the severe consequences on the lives of postmasters and their families. Fujitsu has expressed remorse for its involvement in their pain and hardship.
Fujitsu stated that they are completely dedicated to assisting with the investigation in order to comprehend and learn from the event. In light of the inquiry, it would be improper for Fujitsu to provide any additional statements at this moment.
Source: independent.co.uk