Parmatic Filter Corporation--Costs

B-135230, APR. 2, 1958

TO MR. HAROLD G. BOUND:

WE HAVE FOR CONSIDERATION THE MATTER OF YOUR INDEBTEDNESS TO THE UNITED STATES REPORTED IN LETTER OF JULY 10, 1957, AS AMOUNTING TO A BALANCE OF $45.

IT APPEARS THAT THIS BALANCE OF $45 WAS COMPUTED ON THE BASIS OF NON DEDUCTION FROM YOUR PAY OF CLASS E ALLOTMENT AT $25 A MONTH FOR JUNE, JULY, AUGUST, AND SEPTEMBER 1942, A TOTAL OF $100, REDUCED TO $45 BY REMITTANCES RECEIVED FROM YOU AMOUNTING TO $55. ACTUALLY NO CLASS E ALLOTMENT WAS PAID FOR JUNE 1942.

THE RECORDS SHOW THAT YOU AUTHORIZED A VOLUNTARY (CLASS E) ALLOTMENT AT $25 A MONTH TO BE PAID TO YOUR FORMER WIFE, MRS. GRACE E. BOUND, NOW MRS. GRACE FETTINGER, COMMENCING JULY 1, 1942. ON JULY 22, 1942, YOU EXECUTED "NOTIFICATION OF DISCONTINUANCE OF ALLOTMENT" (W.D., A.G.O. FORM NO. 30), PROVIDING FOR THE DISCONTINUANCE OF THAT ALLOTMENT BY YOU, EFFECTIVE JULY 1, 1942, BECAUSE OF APPLICATION FOR SERVICEMEN'S DEPENDENTS BENEFITS. THAT FORM CONTAINED A NOTATION AS FOLLOWS:

"PAYMENT TO CONTINUE THROUGH SEPT/42 UNDER THIS ALLOTMENT AND THE TOTAL SO PAID FROM DATE OF CANCELLATION THROUGH SEPT/42 IS TO BE DEDUCTED FROM THE FIRST PAYMENT UNDER THE SERVICEMEN'S DEPENDENTS ALLOWANCE ACT.'

SUCH PROCEDURE WAS IN CONFORMANCE WITH THE ESTABLISHED POLICY OF THE DEPARTMENT OF THE ARMY AT THAT TIME, PERMITTING AN ENLISTED MAN TO AUTHORIZE A CLASS E ALLOTMENT TO HIS DEPENDENT FOR THE PERIOD FROM JUNE 1, 1942, THROUGH SEPTEMBER 30, 1942, WITHOUT A CORRESPONDING DEDUCTION FROM HIS PAY. THIS PROCEDURE APPARENTLY WAS ADOPTED IN ORDER TO ALLEVIATE HARDSHIP ON THE PART OF THE ENLISTED MAN'S DEPENDENT WHILE THE AGENCY WHICH ADMINISTERED THE SAID SERVICEMEN'S DEPENDENTS ALLOWANCE ACT, 56 STAT. 382, WAS BEING ESTABLISHED. IN OTHER WORDS, THE PURPOSE OF SUCH PROCEDURE WAS TO CONTINUE THE ALLOTMENTS UNTIL ALL ARRANGEMENTS HAD BEEN MADE FOR THE PAYMENT OF FAMILY ALLOWANCE AND UNTIL SUCH PAYMENTS ACTUALLY COMMENCED. THE RECORDS SHOW THAT CLASS E ALLOTMENT AT THE RATE OF $25 A MONTH WAS PAID TO YOUR ALLOTTEE FOR THE MONTHS OF JULY, AUGUST, AND SEPTEMBER 1942. NO CORRESPONDING DEDUCTIONS WERE MADE FROM YOUR PAY FOR THOSE MONTHS AS REQUIRED NOR WAS DEDUCTION MADE FROM THE FIRST PAYMENT TO YOUR WIFE AS HER FAMILY ALLOWANCES. SINCE NO DEDUCTIONS WERE MADE FROM YOUR PAY FOR THOSE MONTHS YOU ARE LEGALLY OBLIGATED TO REIMBURSE THE UNITED STATES FOR THE TOTAL OF $75 PAID PURSUANT TO YOUR AUTHORIZATION. YOUR SUBSEQUENT PAYMENTS AMOUNTING TO $55 ON ACCOUNT HAVE REDUCED THAT DEBT TO $20.

IN ADDITION TO THE FOREGOING, THE RECORD SHOWS THAT CLASS E ALLOTMENT PAYMENTS CONTINUED TO BE MADE TO YOUR ALLOTTEE IN THE AMOUNT OF $25 MONTHLY FOR THE MONTHS OF OCTOBER 1942 THROUGH JUNE 1943 OR FOR 9 MONTHS, TOTALING $225. THIS PORTION WAS ORIGINALLY CONSIDERED AS BEING SOLELY CHARGEABLE AGAINST YOUR ALLOTTEE BECAUSE THE PAYMENTS WERE MADE FOR PERIODS SUBSEQUENT TO SEPTEMBER 30, 1942, THE DATE YOU REQUESTED THAT THE ALLOTMENT BE DISCONTINUED. HOWEVER, YOUR FORMER WIFE HAS INFORMED US THAT YOU KNEW THAT SHE WAS RECEIVING THESE OVERPAYMENTS AND THAT YOU ACTUALLY PARTICIPATED IN THE USE OF THE FUNDS SO RECEIVED BY HER, WHILE YOU WERE HOME ON LEAVE IN JANUARY AND APRIL 1943 AND WHILE SHE LIVED WITH YOU IN CALIFORNIA BETWEEN SUCH LEAVE PERIODS. SHE STATES ALSO THAT SHE SENT SOME OF THIS MONEY TO YOU WHILE YOU WERE AT THE OFFICERS' TRAINING SCHOOL AND AGAIN SHORTLY BEFORE YOU LEFT FOR OVERSEAS IN MAY 1943. ACCORDINGLY, IT MUST BE HELD THAT YOU ARE JOINTLY AND SEVERALLY LIABLE WITH HER FOR REFUND OF THE ERRONEOUS PAYMENTS. SEE 33 COMP. GEN. 309.

IT HAS BEEN NOTED FROM OUR RECORDS THAT YOU OFFERED TO REPAY YOUR DEBT AT THE RATE OF $5 MONTHLY; THAT YOU HAVE MADE SEVERAL SUCH PAYMENTS; THAT THE PAYMENTS HAVE NOT BEEN MADE EACH ONTH; AND THAT, WITH THE ADDITIONAL $225 REFERRED TO ABOVE, THE BALANCE DUE IS $245. SUCH PAYMENTS--- INCREASED IN AMOUNT, IF POSSIBLE--- SHOULD BE RESUMED WITHIN 30 DAYS FROM THE DATE OF THIS LETTER AND SHOULD BE MADE REGULARLY THEREAFTER BY BANK DRAFT, CHECK, OR MONEY ORDER PAYABLE TO THE UNITED STATES GENERAL ACCOUNTING OFFICE. YOU SHOULD FORWARD THEM TO THE CLAIMS DIVISION, UNITED STATES GENERAL ACCOUNTING OFFICE, POST OFFICE BOX 2610, WASHINGTON 13, D.C., REFERRING TO CLAIM NO. Z-791484, AND FILE B-135230.