B-164879 December 5, 1973
Highlights
Secretary: Enclosed is a copy of letter of March 14. The enclosures are self-explanatory and concern the question of whether the Panama Canal Company must reimburse the United States for amounts of several judgements of the Court of Claims in favor of a number of employees of the Canal Zone Government. The employees claimed and were awarded by the Court. I am sure you will agree that the Panama Canal Company is obligated to reimburse the United States for the amounts paid by the Treasury in satisfaction of those judgments. That you will take such action as may be required to affect such reimbursement.
B-164879 December 5, 1973
The Honorable The Secretary of the Army
Dear Mr. Secretary:
Enclosed is a copy of letter of March 14, 1973, from the President of the Panama Canal Company in response to our letter of October 5, 1972, copy also enclosed, together with a copy of our decision of today to the President of the Panama Canal Company.
The enclosures are self-explanatory and concern the question of whether the Panama Canal Company must reimburse the United States for amounts of several judgements of the Court of Claims in favor of a number of employees of the Canal Zone Government. The employees claimed and were awarded by the Court, additional pay (tropical differential) previously denied then by the Canal Zone Government.
Inasmuch as 2 Canal Zone Code 62(g)(2) requires the Panama Canal Company to reimburse the United States for the net costs of operation of the agency known as the Canal Zone Government, I am sure you will agree that the Panama Canal Company is obligated to reimburse the United States for the amounts paid by the Treasury in satisfaction of those judgments, and that you will take such action as may be required to affect such reimbursement.
Sincerely yours,
R. F. KELLER Deputy Comptroller General of the United States
Enclosures
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