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A law aimed at quashing the wrongful convictions of sub-postmasters caught up in the Horizon IT scandal is being introduced by the government later.

The proposed Post Office (Horizon System) Offences Bill “marks an important step forward in finally clearing” the names of hundreds of wronged branch managers who have had their lives “callously torn apart”, Prime Minister Rishi Sunak said.

The legislation will exonerate those convicted in England and Wales on the basis of the faulty Horizon accounting software in what has been branded the biggest miscarriage of justice in British legal history.

Downing Street said that under the law, convictions will be automatically quashed if they meet the following criteria:

• The convictions were prosecuted by the Post Office or Crown Prosecution Service
• They were for offences carried out in connection with Post Office business between 1996 and 2018
• They were for relevant offences such as theft, fraud and false accounting
• They were against sub-postmasters, their employees, officers, family members or direct employees of the Post Office working in a Post Office that used the Horizon system software.

Those with overturned convictions will receive an interim payment with the option of immediately taking a fixed and final offer of £600,000.

Mr Sunak said: “While I know that nothing can make up for what they’ve been through, today’s legislation marks an important step forward in finally clearing their names.

“We owe it to the victims of this scandal who have had their lives and livelihoods callously torn apart, to deliver the justice they’ve fought so long and hard for, and to ensure nothing like this ever happens again.”

More than 700 sub-postmasters were prosecuted by the Post Office and handed criminal convictions between 1999 and 2015 as Fujitsu’s faulty Horizon IT system made it appear as though money was missing at their branches.

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Read more on Post Office scandal:
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A Post Office TV drama sequel without the need for actors

The long-running saga was put in a fresh spotlight by ITV’s acclaimed drama Mr Bates Vs The Post Office.

The government will also bring forward “enhanced” financial redress for postmasters who, while not convicted or part of legal action against the Post Office, made good the apparent losses caused by the Horizon system from their own pockets.

They will be entitled to a fixed sum award of £75,000 through the Horizon Shortfall Scheme, Downing Street said.

Those who have already settled for less money will have their compensation topped up to this level.

The new Horizon Convictions Redress Scheme, to be run by the Department for Business and Trade, is to open for applications to those who have had their convictions quashed “as soon as possible” once the legislation has passed.

The government hopes the bill will receive royal assent and become law ahead of MPs’ summer holiday.

Business Secretary Kemi Badenoch said: “It is absolutely right that we sweep away the convictions wrongly given to postmasters on the basis of bad evidence, and it is a disgrace that they were ever pursued by the Post Office.

Ministers have decided the scale of the scandal is so great that the usual process of individuals going through the courts would take too long.

Kevan Jones, Labour MP for North Durham and member of the Horizon Compensation Advisory Board, said: “It’s great news that the government has taken the advice of the independent Advisory Board, on which I sit, and introduced the Post Office Offences Bill.

“This will exonerate hundreds of victims who were convicted as a result of the Post Office Horizon IT system.

“It is essential that we get this bill passed as soon as possible before Summer recess so that those affected can get the justice and compensation they have fought so long for.”

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Millionaire former Tory donor defects to Reform

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Millionaire former Tory donor defects to Reform

Millionaire Tory donor Malcolm Offord has defected to Reform UK, saying he would be campaigning “tirelessly” to “remove this rotten SNP government”.

Nigel Farage announced the former Conservative life peer’s defection during a rally in the Scottish town of Falkirk, where regular anti-immigration protests have taken place outside the Cladhan Hotel – which is being used to house asylum seekers.

Mr Farage, Reform UK’s leader, said he was “delighted” to welcome Greenock-born Lord Offord to Reform, describing his defection as “a brave and historic act”.

He added: “He will take Reform UK Scotland to a new level.”

During a speech, Lord Offord, who previously donated nearly £150,000 to the Tories, said he would be quitting the Conservative Party and giving up his place in the House of Lords as he prepares to campaign for a seat in Holyrood in May.

The 61-year-old said he wanted to restore Scotland to a “prosperous, happy, healthy country”.

“Scotland needs Reform and Reform is coming to Scotland,” he told the rally.

Read more:
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Farage allegations are deeply shocking – but will they deter voters?

“Today I can announce that I am resigning from the Conservative Party. Today I am joining Reform UK and today I announce my intention to stand for Reform in the Holyrood election in May next year.

“And that means that from today, for the next five months, day and night, I shall be campaigning with all of you tirelessly for two objectives.

“The first objective is to remove this rotten SNP government after 18 years, and the second is to present a positive vision for Scotland inside the UK, to restore Scotland to being a prosperous, proud, healthy and happy country.”

The latest defection comes as Mr Farage finds himself at the centre of allegations of racism dating back to his time in school.

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Claims made against Nigel Farage

Sky News reported on Saturday that a former schoolfriend of Mr Farage claimed he sang antisemitic songs to Jewish schoolmates – and had a “big issue with anyone called Patel”.

Jean-Pierre Lihou, 61, was initially friends with the Reform UK leader when he arrived at Dulwich College in the 1970s, at the time when Mr Farage is accused of saying antisemitic and other racist remarks by more than a dozen pupils.

Mr Farage has said he “never directly racially abused anybody” at Dulwich and said there is a “strong political element” to the allegations coming out 49 years later.

Reform’s deputy leader Richard Tice has called the ex-classmates “liars”.

A Reform UK spokesman accused Sky News of “scraping the barrel” and being “desperate to stop us winning the next election”.

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Politics

‘European SEC’ proposal sparks licensing concerns, institutional ambitions

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‘European SEC’ proposal sparks licensing concerns, institutional ambitions

The European Commission’s proposal to expand the powers of the European Securities and Markets Authority (ESMA) is raising concerns about the centralization of the bloc’s licensing regime, despite signaling deeper institutional ambitions for its capital markets structure.

On Thursday, the Commission published a package proposing to “direct supervisory competences” for key pieces of market infrastructure, including crypto-asset service providers (CASPs), trading venues and central counterparties to ESMA, Cointelegraph reported.

Concerningly, the ESMA’s jurisdiction would extend to both the supervision and licensing of all European crypto and financial technology (fintech) firms, potentially leading to slower licensing regimes and hindering startup development, according to Faustine Fleuret, head of public affairs at decentralized lending protocol Morpho.

“I am even more concerned that the proposal makes ESMA responsible for both the authorisation and the supervision of CASPs, not only the supervision,” she told Cointelegraph.

The proposal still requires approval from the European Parliament and the Council, which are currently under negotiation. 

If adopted, ESMA’s role in overseeing EU capital markets would more closely resemble the centralized framework of the US Securities and Exchange Commission, a concept first proposed by European Central Bank (ECB) President Christine Lagarde in 2023.

Related: Bank of America backs 1%–4% crypto allocation, opens door to Bitcoin ETFs

EU plan to centralize licensing under ESMA creates crypto and fintech slowdown concerns

The proposal to “centralize” this oversight under a single regulatory body seeks to address the differences in national supervisory practices and uneven licensing regimes, but risks slowing down overall crypto industry development, Elisenda Fabrega, general counsel at Brickken asset tokenization platform, told Cointelegraph.

“Without adequate resources, this mandate may become unmanageable, leading to delays or overly cautious assessments that could disproportionately affect smaller or innovative firms.”

“Ultimately, the effectiveness of this reform will depend less on its legal form and more on its institutional execution,” including ESMA’s operational capacity, independence and cooperation “channels” with member states, she said.

Related: Grayscale Chainlink ETF draws $41M on debut, but not ‘blockbuster’

Global stock market value by country. Source: Visual Capitalist

The broader package aims to boost wealth creation for EU citizens by making the bloc’s capital markets more competitive with those of the US.

The US stock market is worth approximately $62 trillion, or 48% of the global equity market, while the EU stock market’s cumulative value sits around $11 trillion, representing 9% of the global share, according to data from Visual Capitalist.

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