B-134528, JAN. 10, 1958

B-134528: Jan 10, 1958

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WAS IN THE AMOUNT OF $377 WITH INTEREST AT THE STATUTORY RATE OF 2 1/2 PERCENT PER ANNUM. YOU ARE ADVISED THAT WE CONCUR IN THE POSITION OF THE OFFICE OF EDUCATION. THAT YOU ARE LEGALLY OBLIGATED TO REPAY THE SUMS ADVANCED YOU. IS ORDERED INTO MILITARY SERVICE UNDER THE SELECTIVE TRAINING AND SERVICE ACT OF 1940 HAS NO BEARING UPON YOUR CASE. UNLESS AN AFFIRMATIVE ANSWER IS RECEIVED WITHIN 30 DAYS OF THE RECEIPT OF THIS LETTER. WE WILL HAVE NO ALTERNATIVE BUT TO REFER THE MATTER TO THE DEPARTMENT OF JUSTICE FOR APPROPRIATE LEGAL ACTION TO ENFORCE COLLECTION.

B-134528, JAN. 10, 1958

TO MR. GEORGE O. PHILLIPS:

YOUR UNDATED LETTER, POSTMARKED OCTOBER 7, 1957, REQUESTS CANCELLATION OF YOUR INDEBTEDNESS TO THE FEDERAL GOVERNMENT FOR A STUDENT LOAN RECEIVED IN 1943, WHILE ATTENDING THE UNIVERSITY OF MARYLAND. THE LOAN, GRANTED UNDER AUTHORITY OF THE ACT OF JULY 2, 1942, PUBLIC LAW 647, 77TH CONGRESS, 56 STAT. 562, 576, WAS IN THE AMOUNT OF $377 WITH INTEREST AT THE STATUTORY RATE OF 2 1/2 PERCENT PER ANNUM.

YOUR OBLIGATION TO THE GOVERNMENT FOR THE LOAN RECEIVED TO ENABLE YOU TO CONTINUE YOUR STUDIES AT THE UNIVERSITY OF MARYLAND HAS BEEN THE SUBJECT OF PRIOR CORRESPONDENCE, TO YOU, FROM THE UNITED STATES OFFICE OF EDUCATION, THE FEDERAL AGENCY WHICH ADMINISTERED THE LOAN PROGRAM. AS YOU REQUESTED, OUR OFFICE HAS REVIEWED YOUR CASE. YOU ARE ADVISED THAT WE CONCUR IN THE POSITION OF THE OFFICE OF EDUCATION, THAT YOU ARE LEGALLY OBLIGATED TO REPAY THE SUMS ADVANCED YOU,"WITH INTEREST AT THE RATE OF 2 1/2 PERCENTUM PER ANNUM UPON EACH SUCH ADVANCE FROM THE DATE THEREOF.' THE PROVISION OF PUBLIC LAW 647 FOR THE CANCELLATION OF THE INDEBTEDNESS OF A STUDENT WHO, BEFORE COMPLETING HIS COURSE, IS ORDERED INTO MILITARY SERVICE UNDER THE SELECTIVE TRAINING AND SERVICE ACT OF 1940 HAS NO BEARING UPON YOUR CASE. AT THE TIME OF YOUR APPLICATION FOR A STUDENT LOAN, OCTOBER 26, 1942, YOU HAD ENLISTED IN THE ENLISTED RESERVE CORPS AND AS A MEMBER OF THAT CORPS, ON JULY 31, 1943, REPORTED FOR ACTIVE DUTY. CANNOT, BY CONSTRUCTION OR INTERPRETATION, ENLARGE UPON THE CANCELLATION PROVISION OF PUBLIC LAW 647.

WE REQUEST THAT YOU INFORM OUR OFFICE WHETHER YOU DESIRE TO LIQUIDATE THE INDEBTEDNESS. UNLESS AN AFFIRMATIVE ANSWER IS RECEIVED WITHIN 30 DAYS OF THE RECEIPT OF THIS LETTER, ACCOMPANIED BY A SUBSTANTIAL PART PAYMENT, WE WILL HAVE NO ALTERNATIVE BUT TO REFER THE MATTER TO THE DEPARTMENT OF JUSTICE FOR APPROPRIATE LEGAL ACTION TO ENFORCE COLLECTION. YOUR REPLY SHOULD BE ADDRESSED TO THE CLAIMS DIVISION, UNITED STATES GENERAL ACCOUNTING OFFICE, P.O. BOX 2610, WASHINGTON 13, D.C., AND THE CHECK OF MONEY ORDER SHOULD BE DRAWN TO THE ORDER OF "U.S. GENERAL ACCOUNTING OFFICE.'