The lunatics have definitely taken over the asylum

• Client owed refund of £1,600.
• Refund pulled for random "security checks".
• In the mean time HMRC issues threat of court action alleging client's Working Families Tax Credits overpaid by £150.
• I contact HMRC suggesting that perhaps they should simply deduct the £150 from the refund and pay the balance of £1,450 to the client.
• HMRC say they "cant do that as its a separate department".  They then say the refund will not be paid until they have received the £150 from the client.

So its a "separate department" when it suits them, but, not separate when it comes to blackmailing clients.