B-124071, JUN. 8, 1955

B-124071: Jun 8, 1955

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INC.: REFERENCE IS MADE TO YOUR LETTER OF JUNE 4. WHICHEVER IS GREATER. YOU INDICATE YOUR EXPECTATION THAT THE ENTIRE INDEBTEDNESS WILL BE PAID BY MAY 1. AGREE TO STIPULATE THAT ANY BALANCE DUE AS OF THAT DATE WILL BE PAID ACCORDINGLY. THE PLAN OF LIQUIDATION SUGGESTED BY YOU IS ACCEPTABLE TO THIS OFFICE AS TO THAT BALANCE. INSTRUCTIONS ARE BEING ISSUED TO REMOVE THE CONTRACTOR'S NAME FROM THE "HOLD UP" LIST AND TO AUTHORIZE PAYMENT OF THE AMOUNTS DUE OR TO BECOME DUE ON THE PENDING ORDERS. THIS ARRANGEMENT IS AGREED TO WITH THE UNDERSTANDING THAT THE CONTRACTOR WILL MAKE MINIMUM MONTHLY PAYMENTS OF $200 PER MONTH. WHICHEVER IS GREATER. WILL BE PAID AT THAT TIME.

B-124071, JUN. 8, 1955

TO MR. JOHN J. SURRETTE, GENERAL MANAGER, SURRETTE STORAGE BATTERY COMPANY, INC.:

REFERENCE IS MADE TO YOUR LETTER OF JUNE 4, 1955, TRANSMITTING A FINANCIAL STATEMENT OF THE SURRETTE STORAGE BATTERY COMPANY, INC., FOR THE PERIOD ENDING MARCH 31, 1955, AND A LIST OF GOVERNMENT ORDERS TOTALING $29,775.87, MOST OF WHICH YOU REPORT AS HAVING BEEN DELIVERED. ALSO, YOU REPORTED AS PENDING A PROSPECTIVE ORDER AMOUNTING TO $20,382.35.

IN YOUR LETTER OF APRIL 25, 1955, TO HONORABLE WILLIAM H. BATES, YOU OFFERED A PLAN TO LIQUIDATE YOUR CORPORATION'S INDEBTEDNESS TO THE UNITED STATES BY PAYMENTS OF A MINIMUM SUM OF $200 PER MONTH, OR TEN PERCENT OF ANY PROCEEDS FROM GOVERNMENT CONTRACTS, WHICHEVER IS GREATER. IN YOUR LETTER OF JUNE 4, 1955, YOU INDICATE YOUR EXPECTATION THAT THE ENTIRE INDEBTEDNESS WILL BE PAID BY MAY 1, 1956, AND AGREE TO STIPULATE THAT ANY BALANCE DUE AS OF THAT DATE WILL BE PAID ACCORDINGLY.

CORRECTLY COMPUTED THE ORIGINAL INDEBTEDNESS IN THIS CASE APPEARS TO BE $15,333.45. THERE HAS BEEN COLLECTED BY SET-OFF BY SUMS OTHERWISE PAYABLE THE AMOUNT OF $4,709.58, LEAVING AN OUTSTANDING BALANCE OF $10,623.87. THE PLAN OF LIQUIDATION SUGGESTED BY YOU IS ACCEPTABLE TO THIS OFFICE AS TO THAT BALANCE, AND INSTRUCTIONS ARE BEING ISSUED TO REMOVE THE CONTRACTOR'S NAME FROM THE "HOLD UP" LIST AND TO AUTHORIZE PAYMENT OF THE AMOUNTS DUE OR TO BECOME DUE ON THE PENDING ORDERS. THIS ARRANGEMENT IS AGREED TO WITH THE UNDERSTANDING THAT THE CONTRACTOR WILL MAKE MINIMUM MONTHLY PAYMENTS OF $200 PER MONTH, OR TEN PERCENT OF THE PROCEEDS OF ANY GOVERNMENT CONTRACTS, WHICHEVER IS GREATER, AND THAT THE ENTIRE BALANCE DUE AS OF MAY 1, 1956, WILL BE PAID AT THAT TIME. PAYMENTS SHOULD BE MADE BY CHECK OR MONEY ORDER PAYABLE TO THE U.S. GENERAL ACCOUNTING OFFICE AND FORWARDED TO THE FOLLOWING ADDRESS: U.S. GENERAL ACCOUNTING OFFICE, P.O. BOX 2610, WASHINGTON 13, D.C. IN MAKING REMITTANCES PLEASE REFER TO CLAIM NO. Z-1562757.