B-142541, JUL. 1, 1960

B-142541, JUL. 1, 1960

TO CENTRAL OF GEORGIA RAILWAY COMPANY:

FURTHER REFERENCE IS MADE TO YOUR LETTER OF APRIL 6, 1960, FILE N 57530-G -A, IN WHICH YOU REQUEST A REVIEW OF THE SETTLEMENT ACTION OF OCTOBER 15, 1959 (CLAIM TK-668139), WHICH DISALLOWED YOUR CLAIM ON SUPPLEMENTAL BILL NO. N-57530-A-G-R-1948 FOR $71.57.

THE RECORD SHOWS THAT THE SHIPMENT INVOLVED MOVED UNDER GOVERNMENT BILL OF LADING NO. WW-8782323, DATED AUGUST 9, 1950, FROM THE MEMPHIS GENERAL DEPOT, U.S. ARMY, MEMPHIS, TENNESSEE, TO THE TRANSPORTATION OFFICER, ATLANTA GENERAL DEPOT, U.S. ARMY, ARMY DEPOT, GEORGIA. THE SHIPMENT WAS DESCRIBED ON THE BILL OF LADING AS "35 BX AUTO PARTS IRON OR STEEL (ENGINE ASSEMBLY W/O ACCESSORIES)" WITH A WEIGHT OF 51,120 POUNDS. FOR THE TRANSPORTATION SERVICES PERFORMED YOUR COMPANY CLAIMED ORIGINALLY AND WAS PAID $500.98, COMPUTED AT THE 6TH CLASS RATE OF 98 CENTS PER 100 POUNDS. IN OUR AUDIT OF THE PAYMENT VOUCHER, WE DETERMINED THAT THE CHARGES SHOULD HAVE BEEN $429.41, COMPUTED AT THE 7TH CLASS RATE OF 84 CENTS PER 100 POUNDS AND YOU WERE REQUESTED TO REFUND THE OVERCHARGE OF $71.57. UPON YOUR FAILURE TO REMIT SUCH AMOUNT, AN ADMINISTRATIVE DEDUCTION FROM MONIES OTHERWISE DUE YOU WAS MADE ON JUNE 24, 1954.

THE 7TH CLASS RATE USED TO COMPUTE THE CHARGES WAS THAT APPLICABLE ON "AUTOMOBILE ENGINES, AUTOMOBILE ENGINE PARTS OR AUTOMOBILE PARTS, OTHER THAN AUTOMOBILE BODIES, OLD, USED, HAVING VALUE FOR RECONDITIONING," AS PUBLISHED IN ITEM 2815 OF THE CONSOLIDATED FREIGHT CLASSIFICATION NO. 19. OUR AUDIT ACTION WAS BASED ON A MEMORANDUM RECEIVED FROM THE ADMINISTRATIVE OFFICE ENTITLED ,SUPPLEMENTAL BILL OF LADING INFORMATION," DATED JUNE 2, 1952, AND SIGNED BY MR. C. FEHLBERG, TRANSPORTATION AGENT (CIVILIAN), MEMPHIS GENERAL DEPOT. MR. FEHLBERG REPORTED THAT THE DESCRIPTION OF THE PROPERTY SHOWN ON GOVERNMENT BILL OF LADING NO. WW 8782323 SHOULD HAVE READ "35 BKS - AUTOMOBILE ENGINES AND AUTOMOBILE PARTS OLD, USED, HAVING VALUE FOR RECONDITION" RATHER THAN "35 BX AUTO PARTS, IRON OR STEEL (ENGINE ASSEMBLY W/O ACCESSORIES).'

THE PRIMARY QUESTION INVOLVED HERE IS ONE OF FACT AS TO THE ACTUAL CONSIST OF THE COMMODITY SHIPPED. THE INTERSTATE COMMERCE COMMISSION HAS HELD THAT THE COMMODITY DESCRIPTION ON THE BILL OF LADING IS NOT CONTROLLING FOR TRANSPORTATION PURPOSES; THE IMPORTANT FACT IS WHAT MOVED, NOT WHAT WAS BILLED. PENN FACING MILLS CO. V. A.A. R.R.CO., 182 I.C.C. 614, 615; UNITED WELDING CO. V. B. AND O. R.R.CO., 196 I.C.C. 79, 80.

THE ADMINISTRATIVE OFFICE, THE DEPARTMENT OF THE ARMY, IS IN THE BEST POSITION TO KNOW WHAT WAS SHIPPED. NO EVIDENCE HAS BEEN PRESENTED TO INDICATE THAT THE ADMINISTRATIVE CORRECTION OF THE BILL OF LADING DESCRIPTION WAS INCORRECT. WE HAVE CONSISTENTLY HELD THAT WHERE THERE IS A DISPUTE BETWEEN THE ADMINISTRATIVE OFFICE AND THE CLAIMANT INVOLVING A QUESTION OF FACT, THE ADMINISTRATIVE REPORT WILL BE ACCEPTED AS TRUE IN THE ABSENCE OF SUBSTANTIAL EVIDENCE TO THE CONTRARY. 11 COMP. GEN. 473; 16 ID. 1105.

YOU CONTEND THAT A THOROUGH INVESTIGATION BY A REPRESENTATIVE OF THE RAILWAYS DETERMINED THE SHIPMENT WAS MADE UNDER "AUTHORITY ARMY UNSERVICEABLE EXCESS REPORT NO. 1 DATED JUNE 2, 1950," AND THAT THE COMMODITY "BEING EXCESS WOULD IN NO WAY SHOW THAT THE COMMODITY SHIPPED COULD BE AS STATED BY THE GOVERNMENT TO BE RECONDITIONED.' HOWEVER, THE FACT THAT THE ARTICLES WERE CLASSIFIED AS UNSERVICEABLE IN THE CONDITION IN WHICH SHIPPED AND WERE IN EXCESS OF THE NEEDS OF THE DEPARTMENT OF THE ARMY WOULD IN NO WAY INDICATE THAT THE ARTICLES SHIPPED WERE NOT OLD HAVING VALUE FOR RECONDITIONING. ALSO, IF AS YOU SEEM TO CONTEND THE AUTO -PARTS HAD NO VALUE FOR RECONDITIONING AND WERE UNSERVICEABLE, IT WOULD APPEAR THAT THE PROPER CLASSIFICATION OF THE AUTO-PARTS TRANSPORTED UNDER GOVERNMENT BILL OF LADING NO. WW-8782323 WOULD HAVE BEEN SCRAP WHICH WOULD BEAR A LOWER APPLICABLE FREIGHT RATE THAN THAT ALREADY PAID YOU.

ACCORDINGLY, OUR SETTLEMENT ACTION OF OCTOBER 15, 1959, ON SUPPLEMENTAL BILL NO. N 57530-A-G-R-1948, IS SUSTAINED.