B-124781, AUG. 25, 1955

B-124781, AUG. 25, 1955

TO MR. PHILLIP GERACI:

REFERENCE IS MADE TO YOUR LETTER OF JUNE 11, 1955, WITH ENCLOSURE, IN EFFECT REQUESTING REVIEW OF OFFICE SETTLEMENT OF NOVEMBER 24, 1954, WHICH DISALLOWED YOUR CLAIM FOR 25 PERCENT FOREIGN SERVICE DIFFERENTIAL PAY AS AN EMPLOYEE OF THE DEPARTMENT OF THE ARMY, CORPS OF ENGINEERS, GRECIAN DISTRICT, ATHENS, GREECE, FOR THE PERIOD DECEMBER 26, 1948, TO APRIL 7, 1949.

THE RECORD SHOWS THAT THE 25 PERCENT SALARY DIFFERENTIAL WAS PAID TO YOU UNDER THE TERMS OF YOUR CONTRACT FROM OCTOBER 8, 1947, THE DATE OF YOUR DEPARTURE FROM THE UNITED STATES, UNTIL DECEMBER 25, 1948. AFTER THAT DATE THE ADMINISTRATIVE OFFICE DISCONTINUED PAYMENT OF THE 25 PERCENT DIFFERENTIAL BECAUSE OF THE BELIEF THAT SUCH PAYMENT WAS PROHIBITED BY THE PROVISIONS OF EXECUTIVE ORDER NO. 10000 DATED SEPTEMBER 16, 1948, AND REGULATIONS ISSUED THEREUNDER. IN LIEU OF THIS OVERSEAS SALARY DIFFERENTIAL YOU WERE PAID A SPECIAL POST ALLOWANCE FROM DECEMBER 26, 1948, TO APRIL 11, 1949, YOUR LAST DAY OF WORK. THE RECORD FURTHER SHOWS THAT THIS SPECIAL POST ALLOWANCE WAS PAID IN UNITED STATES DOLLARS FROM DECEMBER 26, 1948, TO FEBRUARY 5, 1949, IN THE SUM OF $450, AND IN GREEK DRACHMA FROM FEBRUARY 6, 1949, TO APRIL 11, 1949, IN THE EQUIVALENT AMOUNT OF $557.13, OR A TOTAL OF $1,007.13 IN UNITED STATES CURRENCY; WHEREAS 25 PERCENT OF YOUR BASIC SALARY FROM DECEMBER 26, 1948, TO MAY 21, 1949, THE DATE OF YOUR SEPARATION FROM THE CORPS OF ENGINEERS IN THE GRECIAN DISTRICT (PLUS ADDITIONAL LUMP-SUM LEAVE PAYMENT OF 25 PERCENT) WHICH WAS DUE YOU UNDER YOUR CONTRACT WOULD BE ONLY $409.47.

IT IS WITHIN THE DISCRETION OF THE ADMINISTRATIVE OFFICE TO GRANT OR DENY THE SPECIAL POST ALLOWANCE, AND, ALSO TO FIX THE AMOUNT THEREOF WITHIN THE LIMITS PRESCRIBED BY THE GOVERNING REGULATIONS. THE REPORT FURNISHED BY THE DEPARTMENT OF THE ARMY INDICATES THAT IT WAS NOT INTENDED THAT ANY EMPLOYEE RECEIVE CONCURRENTLY BOTH THE 25 PERCENT OVERSEAS DIFFERENTIAL AND THE SPECIAL POST ALLOWANCE. IN VIEW THEREOF, IT IS CLEAR THAT IF THE ADMINISTRATIVE OFFICE HAD KNOWN AT THE TIME THAT YOU WERE ENTITLED UNDER YOUR CONTRACT TO THE 25 PERCENT DIFFERENTIAL YOU WOULD NOT HAVE BEEN PAID IN ADDITION THERETO THE SPECIAL POST ALLOWANCE IN THE AMOUNT YOU RECEIVED. SINCE THE VALUE IN UNITED STATES CURRENCY OF SUCH SPECIAL POST ALLOWANCE PAYMENTS EXCEEDS THAT TO WHICH YOU ARE ENTITLED AS DIFFERENTIAL PAY, THERE IS NO BASIS UPON WHICH WE COULD PROPERLY AUTHORIZE THE PAYMENT TO YOU OF ANY ADDITIONAL AMOUNT. THEREFORE, THE CONCLUSION STATED IN THE SETTLEMENT OF NOVEMBER 24, 1954, IS CORRECT AND HEREBY IS SUSTAINED.

AS INDICATED IN YOUR LETTER OF AUGUST 8, 1954, IN A FEW CASES WE HAVE AUTHORIZED PAYMENT OF THE 25 PERCENT DIFFERENTIAL TO DEPARTMENT OF THE ARMY EMPLOYEES STATIONED IN THE GRECIAN DISTRICT AFTER DECEMBER 26, 1948, WITHOUT DEDUCTION OF THE SPECIAL POST ALLOWANCE ERRONEOUSLY RECEIVED BY THEM. EXAMINATION OF THOSE CASES DISCLOSES THAT SUCH DUAL ALLOWANCES WERE PAID PRIOR TO THE TIME THAT WE WERE FULLY ADVISED OF ALL THE PERTINENT FACTS AND CIRCUMSTANCES BEARING UPON THEIR CLAIMS. IN ANY EVENT, SUCH ERRONEOUS PAYMENTS AFFORD NO GROUNDS FOR ALLOWANCE IN YOUR CASE.

WAR DEPARTMENT REPORT OF PERSONNEL ACTION, WD FORM 50, IS RETURNED HEREWITH AS REQUESTED.