A-96346, AUGUST 5, 1938, 18 COMP. GEN. 133

A-96346: Aug 5, 1938

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WAS NOT PRESENTED WITHIN THE AUTHORIZED PERIOD FOR PRESENTMENT AND THE PROCEEDS THEREOF WERE THEREFORE DEPOSITED AS "OUTSTANDING LIABILITIES. ANOTHER CHECK WAS ISSUED IN HIS FAVOR FOR THE AMOUNT INVOLVED PAYABLE FROM THE "OUTSTANDING LIABILITIES (TRUST FUND). " WHICH CHECK WAS RETURNED BECAUSE THE VETERAN HAD PREVIOUSLY DIED. NOT TO THE TRUST-FUND ACCOUNT "OUTSTANDING LIABILITIES" AS TO WHICH THE ACCEPTED RULE HAS BEEN THAT SUCH CHECK CLAIMS ARE FOR CONSIDERATION AND ACTION BY THE GENERAL ACCOUNTING OFFICE. IS AS FOLLOWS: IT HAS COME TO MY ATTENTION THAT TREASURER'S CHECK NO. 41303. WHICH WAS RETURNED TO THE TREASURER'S OFFICE FOR THE REASON THAT THE PAYEE IS DECEASED. WAS TRANSMITTED BY THAT OFFICE TO YOU FOR SETTLEMENT.

A-96346, AUGUST 5, 1938, 18 COMP. GEN. 133

CHECKS - VETERANS' ADJUSTED SERVICE CERTIFICATE PAYMENTS - CLAIM JURISDICTION AFTER COVERING OF AMOUNTS INTO "OUTSTANDING LIABILITIES" WHERE THE CHECK ISSUED IN FAVOR OF A VETERAN UNDER THE ADJUSTED COMPENSATION PAYMENT ACT, 1936, 49 STAT. 1099, IN PAYMENT OF THE DIFFERENCE BETWEEN THE AMOUNT CERTIFIED DUE HIM ON HIS ADJUSTED SERVICE CERTIFICATE AND THE FACE AMOUNT OF ADJUSTED SERVICE BONDS ISSUED IN HIS FAVOR, WAS NOT PRESENTED WITHIN THE AUTHORIZED PERIOD FOR PRESENTMENT AND THE PROCEEDS THEREOF WERE THEREFORE DEPOSITED AS "OUTSTANDING LIABILITIES," AND SUBSEQUENTLY, ON CERTIFICATE OF SETTLEMENT OF THE GENERAL ACCOUNTING OFFICE, ANOTHER CHECK WAS ISSUED IN HIS FAVOR FOR THE AMOUNT INVOLVED PAYABLE FROM THE "OUTSTANDING LIABILITIES (TRUST FUND)," WHICH CHECK WAS RETURNED BECAUSE THE VETERAN HAD PREVIOUSLY DIED, THE LATTER CHECK MAY NOT BE RETURNED TO THE TREASURY DEPARTMENT FOR DETERMINATION AS TO THE PERSON OR PERSONS LAWFULLY ENTITLED TO PAYMENT PURSUANT TO THE PAYMENT DETERMINATION PROVISIONS OF THE SAID ADJUSTED COMPENSATION PAYMENT ACT, THE SAID PROVISIONS BEING FOR APPLICATION ONLY TO PAYMENTS UNDER AND CHECKS "PAYABLE OUT OF" THE FUND THEREIN INVOLVED, AND NOT TO THE TRUST-FUND ACCOUNT "OUTSTANDING LIABILITIES" AS TO WHICH THE ACCEPTED RULE HAS BEEN THAT SUCH CHECK CLAIMS ARE FOR CONSIDERATION AND ACTION BY THE GENERAL ACCOUNTING OFFICE.

ACTING COMPTROLLER GENERAL ELLIOTT TO THE SECRETARY OF THE TREASURY, AUGUST 5, 1938:

LETTER DATED JUNE 11, 1938, FROM THE ASSISTANT SECRETARY OF THE TREASURY, IS AS FOLLOWS:

IT HAS COME TO MY ATTENTION THAT TREASURER'S CHECK NO. 41303, DATED JANUARY 21, 1938, FOR $49.09, DRAWN TO THE ORDER OF MICHAEL VINCENT BLACK, WHICH WAS RETURNED TO THE TREASURER'S OFFICE FOR THE REASON THAT THE PAYEE IS DECEASED, WAS TRANSMITTED BY THAT OFFICE TO YOU FOR SETTLEMENT. THE CHECK IN QUESTION WAS ISSUED IN LIEU OF CHECK NO. 774254, SYMBOL 99-280, DATED JUNE 15, 1936, IN PAYMENT OF THE ODD AMOUNT DUE ON THE VETERAN'S ADJUSTED SERVICE CERTIFICATE.

THE DIVISION OF LOANS AND CURRENCY IS IN RECEIPT OF A COMMUNICATION FROM MRS. ANNA BLACK, WIDOW OF THE VETERAN, INQUIRING HOW SHE MAY OBTAIN SETTLEMENT OF THE CHECK. IN VIEW OF THE FACT THAT THE PAYEE IS DECEASED, IT IS REQUESTED THAT THE CHECK BE FORWARDED TO THE DIVISION OF LOANS AND CURRENCY FOR DETERMINATION AS TO THE PERSON OR PERSONS LAWFULLY ENTITLED TO PAYMENT, PURSUANT TO THE PROVISIONS OF THE ADJUSTED COMPENSATION PAYMENT ACT, 1936, AS AMENDED.

IT APPEARS FROM THE RECORD THAT MICHAEL VINCENT BLACK, A-1254585, EXECUTED AN APPLICATION (FORM 1701) FOR SETTLEMENT OF AMOUNTS DUE UNDER "THE ADJUSTED COMPENSATION PAYMENT ACT, 1936," 49 STAT. 1099. CHECK NO. 774254, FOR $49.09, DATED JUNE 15, 1936, WAS ISSUED IN FAVOR OF THE VETERAN IN PAYMENT OF THE DIFFERENCE BETWEEN THE AMOUNT CERTIFIED DUE HIM ON HIS ADJUSTED SERVICE CERTIFICATE AND THE FACE AMOUNT OF CERTAIN ADJUSTED SERVICE BONDS ISSUED IN HIS FAVOR. THIS CHECK WHICH WAS PAYABLE OUT OF THE FUND CREATED BY SECTION 505 OF THE WORLD WAR ADJUSTED COMPENSATION ACT, AS AMENDED, WAS PAYABLE ONLY UNTIL THE CLOSE OF THE FISCAL YEAR NEXT FOLLOWING THE FISCAL YEAR IN WHICH SUCH CHECK WAS ISSUED AND HAVING NOT BEEN PRESENTED FOR PAYMENT WITHIN SUCH PERIOD, THE AMOUNT THEREOF WAS DEPOSITED INTO THE TREASURY TO THE CREDIT OF THE TRUST FUND ACCOUNT ,OUTSTANDING LIABILITIES" IN ACCORDANCE WITH THE PROVISIONS OF SECTION 21 OF THE PERMANENT APPROPRIATION REPEAL ACT, 1934, 48 STAT. 1235.

THE VETERAN ATTEMPTED TO OBTAIN PAYMENT ON THE CHECK AFTER ITS NEGOTIABILITY DATE EXPIRED AND THE CHECK WAS RETURNED TO HIM UNPAID BY THE TREASURER OF THE UNITED STATES. APPLICATION FOR PAYMENT OF THE AMOUNT INVOLVED WAS MADE BY THE VETERAN AND UNDER DATE OF JANUARY 10, 1938, CERTIFICATE OF SETTLEMENT NO. 0481402 ISSUED OUT OF THIS OFFICE FOR PAYMENT OF THE AMOUNT OF $49.09 TO MICHAEL VINCENT BLACK FROM THE APPROPRIATION "OUTSTANDING LIABILITIES (TRUST FUND), 1936, 1938-39.' CHECK NO. 41303 DATED JANUARY 21, 1938, IN THE AMOUNT OF $49.09 WAS DRAWN TO THE ORDER OF THE VETERAN PURSUANT TO SAID SETTLEMENT. THE CHECK WAS RETURNED TO THE DIVISION OF DISBURSEMENT, TREASURY DEPARTMENT, BY MRS. ANNA K. BLACK WITH LETTER OF ADVICE THAT THE VETERAN DIED JANUARY 15, 1938, AND THE CHECK AND LETTER WERE FORWARDED TO THIS OFFICE FOR CONSIDERATION.

THE LETTER, SUPRA, NOW REQUESTS THAT CHECK NO. 41303 BE FORWARDED TO THE DIVISION OF LOANS AND CURRENCY FOR DETERMINATION AS TO THE PERSON OR PERSONS LAWFULLY ENTITLED TO PAYMENT PURSUANT TO THE PROVISIONS OF THE ADJUSTED COMPENSATION PAYMENT ACT, 1936, AS AMENDED. THE ACT OF JUNE 26, 1936, 49 STAT. 1982, AMENDING SECTION 4 OF THE ADJUSTED COMPENSATION PAYMENT ACT, 1936, AS AMENDED, ADDS THE FOLLOWING TO SAID SECTION 4:

* * * IN CASES OF DECEASED OR INCOMPETENT VETERANS, THE PAYMENTS PROVIDED BY THIS PARAGRAPH, WHETHER OF THE AMOUNT CERTIFIED, BY ISSUANCE OF BONDS AND BY CHECKS PAYABLE OUT OF THE FUND CREATED BY SECTION 505OF THE WORLD WAR ADJUSTED COMPENSATION ACT, AS AMENDED, OR WHETHER OF SUCH BONDS ON REDEMPTION THEREOF, SHALL BE MADE TO THE PERSON OR PERSONS DETERMINED BY THE SECRETARY OF THE TREASURY TO BE LAWFULLY ENTITLED THERETO, WITHOUT THE NECESSITY OF THE APPOINTMENT BY JUDICIAL PROCEEDINGS OR OTHERWISE OF A LEGAL REPRESENTATIVE OF THE ESTATE OF ANY VETERAN OR OF ANY OTHER PERSONS, OR OF COMPLIANCE WITH STATE LAW IN RESPECT OF THE ADMINISTRATION OF ESTATES. SUCH CHECKS MAY BE ENDORSED ON BEHALF OF THE SECRETARY OF THE TREASURY IN THE NAME OF THE VETERAN, IF THAT IS DETERMINED BY THE SECRETARY TO BE APPROPRIATE FOR THE EFFECTUATION HEREOF. ALL DETERMINATIONS BY THE SECRETARY OF THE TREASURY UNDER THIS PARAGRAPH SHALL BE FINAL AND CONCLUSIVE AND NEITHER ANY OTHER OFFICIAL OF THE UNITED STATES NOR, EXCEPT IN THE CASE OF PRIOR JUDICIAL DETERMINATION, ANY STATE OR FEDERAL COURT, SHALL HAVE JURISDICTION TO REVIEW ANY SUCH DETERMINATION. THE PROVISIONS OF THIS PARAGRAPH SHALL BE CARRIED OUT SUBJECT TO REGULATIONS OF THE SECRETARY OF THE TREASURY TO BE ISSUED FROM TIME TO TIME TO EFFECTUATE THE PURPOSES OF THIS ACT.

THE AMENDMENT APPLIES SPECIFICALLY TO PAYMENTS UNDER AND CHECKS "PAYABLE OUT OF" THE FUND CREATED BY SECTION 505 OF THE WORLD WAR ADJUSTED COMPENSATION ACT, AS AMENDED. IN THE PRESENT CASE THE CHECK IS NOT "PAYABLE OUT OF" SAID FUND BUT OF THE TRUST-FUND ACCOUNT "OUTSTANDING LIABILITIES," AND THE PROVISIONS OF THE ADJUSTED COMPENSATION PAYMENT ACT, AS AMENDED, HAVE NO APPLICATION TO SUCH CASE. IT HAS BEEN THE ACCEPTED RULE WITHOUT EXCEPTION THAT CLAIMS ON CHECKS THE AMOUNTS OF WHICH HAVE BEEN COVERED INTO "OUTSTANDING LIABILITIES" ARE FOR CONSIDERATION AND ACTION BY THE GENERAL ACCOUNTING OFFICE UNDER SECTIONS 236 AND 308, REVISED STATUTES, AS AMENDED, AND IT IS NOT APPARENT WHY SUCH RULE SHOULD BE DISREGARDED IN A CASE SUCH AS HERE PRESENTED WHERE WHAT IS INVOLVED IS A CLAIM ON A CHECK DRAWN UPON A SETTLEMENT OF THIS OFFICE UNDER SAID SECTIONS 236 AND 308, SUPRA. IN THE CIRCUMSTANCES THE REQUEST OF THE TREASURY FOR THE CHECK IN THIS CASE MUST BE AND IS DENIED. HOWEVER, IF THE TREASURY HAS INFORMATION OR EVIDENCE ON FILE WHICH MAY BE HELPFUL IN THE DISPOSITION OF THE CASE IT IS REQUESTED THAT IT BE FORWARDED HERE FOR CONSIDERATION IN THE MATTER.