B-132450, AUG. 19, 1957

B-132450: Aug 19, 1957

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M.D.: REFERENCE IS MADE TO YOUR LETTER OF JULY 17. CONCERNING THE MATTER OF YOUR INDEBTEDNESS TO THE UNITED STATES BECAUSE OF ERRONEOUS PAYMENTS RECEIVED WHILE YOU WERE ON ACTIVE DUTY AS A MEDICAL OFFICER OF THE NAVAL RESERVE. WHERE REGULAR DEDUCTIONS ARE BEING MADE FROM YOUR PAY TOWARD THE LIQUIDATION OF YOUR INDEBTEDNESS. WHERE IT IS PLANNED TO WITHHOLD FROM YOUR FINAL SALARY PAYMENT AT THE TIME OF YOUR ANTICIPATED SEPARATION FROM SUCH EMPLOYMENT AN AMOUNT SUFFICIENT TO LIQUIDATE THE REMAINDER OF THE DEBT. DETERMINED TO HAVE BEEN DUE YOU BY VIRTUE OF THE SAVED PAY PROVISIONS OF SECTION 515 OF THE CAREER COMPENSATION ACT OF 1949. WE ARE OF THE OPINION. THAT YOUR OBLIGATION TO THE GOVERNMENT TO REFUND THE AMOUNTS REPRESENTED BY SUCH ERRONEOUS PAYMENTS IS CLEAR.

B-132450, AUG. 19, 1957

TO JOE E. HIRSCH, M.D.:

REFERENCE IS MADE TO YOUR LETTER OF JULY 17, 1957, CONCERNING THE MATTER OF YOUR INDEBTEDNESS TO THE UNITED STATES BECAUSE OF ERRONEOUS PAYMENTS RECEIVED WHILE YOU WERE ON ACTIVE DUTY AS A MEDICAL OFFICER OF THE NAVAL RESERVE. YOU REQUEST THAT WE AUTHORIZE THE VETERANS ADMINISTRATION CENTER AT WADSWORTH, KANSAS, YOUR PRESENT EMPLOYER, WHERE REGULAR DEDUCTIONS ARE BEING MADE FROM YOUR PAY TOWARD THE LIQUIDATION OF YOUR INDEBTEDNESS, AND WHERE IT IS PLANNED TO WITHHOLD FROM YOUR FINAL SALARY PAYMENT AT THE TIME OF YOUR ANTICIPATED SEPARATION FROM SUCH EMPLOYMENT AN AMOUNT SUFFICIENT TO LIQUIDATE THE REMAINDER OF THE DEBT, TO WITHHOLD ONLY ONE-HALF OF THE AMOUNT PROPOSED FOR COLLECTION ON YOUR SEPARATION TO PREVENT UNDUE HARDSHIP. YOU PROPOSE TO PAY THE REMAINDER IN SMALL MONTHLY PAYMENTS FROM FUTURE EARNINGS IN PRIVATE PRACTICE.

YOUR INDEBTEDNESS OF $1,078.73 (WHICH APPARENTLY HAD BEEN REDUCED BY COLLECTIONS AS OF THE DATE OF YOUR LETTER TO $738.73) REPRESENTS THE AGGREGATE OF PAYMENTS ERRONEOUSLY PAID TO YOU DURING THE PERIOD OF YOUR SERVICE AT THE CHARITY HOSPITAL AS RENTAL ALLOWANCES AT $60 PER MONTH FOR THE PERIOD FROM JUNE 29 TO SEPTEMBER 30, 1949 ($184); SUBSISTENCE ALLOWANCE AT $0.70 PER DAY FROM JUNE 29 TO SEPTEMBER 30, 1949 ($65.80); BASIC ALLOWANCE FOR QUARTERS AT $67.50 PER MONTH FROM OCTOBER 1, 1949, TO JUNE 10, 1950 ($562.50); AND SUBSISTENCE AT $42.00 PER MONTH FROM OCTOBER 1, 1949, TO JUNE 30, 1950 ($378); PLUS THE NET STIPEND OF $10 PER MONTH FROM JUNE 29, 1949, TO JUNE 30, 1950 ($120.67); AND LESS THE SUM OF $232.24, DETERMINED TO HAVE BEEN DUE YOU BY VIRTUE OF THE SAVED PAY PROVISIONS OF SECTION 515 OF THE CAREER COMPENSATION ACT OF 1949, 63 STAT. 831.

WE ARE OF THE OPINION, FOR REASONS HERETOFORE FURNISHED YOU, THAT YOUR OBLIGATION TO THE GOVERNMENT TO REFUND THE AMOUNTS REPRESENTED BY SUCH ERRONEOUS PAYMENTS IS CLEAR, AND CONSEQUENTLY, THAT IT IS OUR RESPONSIBILITY UNDER THE BUDGET AND ACCOUNTING ACT OF 1921, 42 STAT. 21, TO TAKE ALL STEPS AVAILABLE TO US TO EFFECT COLLECTION IN THE MATTER. WAS IN FULFILLMENT OF THAT RESPONSIBILITY THAT THE MATTER OF YOUR INDEBTEDNESS WAS REFERRED TO THE VETERANS ADMINISTRATION FOR COLLECTION FROM ANY FUNDS DUE YOU FROM YOUR EMPLOYMENT WITH THAT AGENCY WHICH WERE LEGALLY AVAILABLE FOR THAT PURPOSE. YOUR SALARY AND LEAVE PAYMENT DUE UPON FINAL SEPARATION FROM EMPLOYMENT BY THE GOVERNMENT INVOLVE FUNDS OF THAT NATURE AND WE ARE WITHOUT AUTHORITY TO COMPLY WITH YOUR REQUEST TO AUTHORIZE THE WITHHOLDING OF BUT ONE HALF OF THE AMOUNT REMAINING DUE ON YOUR DEBT UPON YOUR SEPARATION FROM EMPLOYMENT WITH THE VETERANS ADMINISTRATION CENTER AT WADSWORTH, KANSAS.