B-131858, JUL. 8, 1957

B-131858: Jul 8, 1957

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ARE TO BE CONSIDERED AS PAYMENTS ON THE DOUBLE DAMAGE PROVISION OR THE FORFEITURE PROVISION OF 31 U.S.C. 231. THE CHIEF PURPOSE OF THE PROVISION IS TO PROVIDE RESTITUTION TO THE GOVERNMENT OF MONEY TAKEN FROM IT BY FRAUD. AMOUNTS RECOVERED AS PENALTIES UNDER THE PROVISIONS OF 31U.S.C. 231 ARE FOR DEPOSITING INTO THE TREASURY UNDER THE MISCELLANEOUS RECEIPT ACCOUNT SYMBOL AND TITLE "0999 FINES.

B-131858, JUL. 8, 1957

TO HONORABLE H. V. HIGLEY, ADMINISTRATOR, VETERANS ADMINISTRATION:

ON MAY 9, 1957, THE DEPUTY ADMINISTRATOR REQUESTED OUR ADVICE AS TO WHETHER INSTALLMENT PAYMENTS, TENDERED IN CONNECTION WITH A JUDGMENT ENTERED IN THE UNITED STATES DISTRICT COURT FOR THE DISTRICT OF NEW JERSEY, CIVIL ACTION NO. 691-56, AGAINST JOHN H. HAYES, JR. (C-10 406 468) FOR $2,422.65, REPRESENTING A FORFEITURE OF $2,000, DOUBLE DAMAGES OF $840, AND INTEREST OF $105, LESS $522.35 PAID BY THE SUBJECT TO THE VETERANS ADMINISTRATION, ARE TO BE CONSIDERED AS PAYMENTS ON THE DOUBLE DAMAGE PROVISION OR THE FORFEITURE PROVISION OF 31 U.S.C. 231, AND IN ANY EVENT, TO WHAT SYMBOL THEY SHOULD BE DEPOSITED.

THE WORDS "FORFEIT AND PAY," AS USED IN 31 U.S.C. 231, RELATE ALIKE TO THE $2,000 SUM AND THE DOUBLE DAMAGES, AND THE CHIEF PURPOSE OF THE PROVISION IS TO PROVIDE RESTITUTION TO THE GOVERNMENT OF MONEY TAKEN FROM IT BY FRAUD. UNITED STATES EX REL MARCUS V. HESS, 317 U.S. 537. FOR DEPOSIT PURPOSES, A DISTINCTION HAS NEVER BEEN DRAWN BETWEEN DOUBLE DAMAGES AND FORFEITURES AND IN ACCORDANCE WITH ESTABLISHED ACCOUNTING PROCEDURES, AMOUNTS RECOVERED AS PENALTIES UNDER THE PROVISIONS OF 31U.S.C. 231 ARE FOR DEPOSITING INTO THE TREASURY UNDER THE MISCELLANEOUS RECEIPT ACCOUNT SYMBOL AND TITLE "0999 FINES, PENALTIES, AND FORFEITURES, NOT OTHERWISE CLASSIFIED.'