B-139541, SEP. 11, 1959

B-139541: Sep 11, 1959

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TO THE CENTRAL OF GEORGIA RAILWAY COMPANY: FURTHER REFERENCE IS MADE TO YOUR LETTER OF APRIL 29. THAT REFERENCE WAS DELETED AND REQUISITION NO. 18351 WAS INSERTED BY THE ISSUING OFFICER BEFORE THE GOODS WERE ACCEPTED BY THE ORIGIN CARRIER. BOTH CLAIMS INVOLVED SYNTHETIC RUBBER SHIPMENTS AND WERE COVERED BY REQUISITION NO. THE INTENDED "USE" TO BE MADE OF THE SYNTHETIC RUBBER AS SHOWN ON THE TWO REQUISITIONS IS ENTIRELY DIFFERENT. UK-18351 IS SUBSTANTIALLY SIMILAR TO THAT OF REQUISITION NO. WHICH IS INVOLVED IN CENTRAL OF GEORGIA RAILWAY COMPANY V. THAT THE RUBBER RELEASED TO CIVILIANS DURING THIS PERIOD WAS NEGLIGIBLE. THAT THE BRITISH GOVERNMENT WAS RECLAIMING RUBBER FROM CIVILIAN SOURCES RATHER THAN RELEASING IT TO THEM.

B-139541, SEP. 11, 1959

TO THE CENTRAL OF GEORGIA RAILWAY COMPANY:

FURTHER REFERENCE IS MADE TO YOUR LETTER OF APRIL 29, 1959, FILE N 27661- G-A, IN WHICH YOU REQUEST A REVIEW OF OUR DISALLOWANCE OF YOUR CLAIM PER BILL NO. N-27661-D-G-R-1938, FOR FULL COMMERCIAL RATES ALLEGED TO BE DUE ON VARIOUS SHIPMENTS OF SYNTHETIC RUBBER PROCURED UNDER REQUISITION NOS. UK-18351 AND UK-19747.

YOUR CLAIM ARISES FROM GOVERNMENT BILLS OF LADING ISSUED BY THE UNITED STATES TREASURY DEPARTMENT, PROCUREMENT DIVISION, TO COVER LEND LEASE SHIPMENTS OF SYNTHETIC RUBBER, WHICH MOVED IN THE SPRING OF 1944 FROM INSTITUTE, WEST VIRGINIA, TO SAVANNAH, GEORGIA, FOR EXPORT TO GREAT BRITAIN. EACH BILL OF LADING CONTAINS A REFERENCE TO REQUISITION NO. UK- 18351. REQUISITION NO. UK-19747 DOES NOT APPEAR TO BE INVOLVED. WHILE SOME OF THE BILLS OF LADING CONTAINED A REFERENCE TO REQUISITION NO. UK- 19747, THAT REFERENCE WAS DELETED AND REQUISITION NO. 18351 WAS INSERTED BY THE ISSUING OFFICER BEFORE THE GOODS WERE ACCEPTED BY THE ORIGIN CARRIER, THE NEW YORK CENTRAL RAILWAY COMPANY.

YOU CONTEND, IN SUBSTANCE, THAT ALL OF THE SHIPMENTS COVERED BY REQUISITION NO. UK-18351 MOVED 100 PERCENT FOR CIVIL USE. TO SUPPORT YOUR CONTENTION YOU STATE THAT THIS OFFICE HAS PAID SIMILAR CLAIMS, TK 193081 AND TK-235322. BOTH CLAIMS INVOLVED SYNTHETIC RUBBER SHIPMENTS AND WERE COVERED BY REQUISITION NO. UK-20787, IN WHICH THE INTENDED "USE" FOR THE SYNTHETIC RUBBER AD,"INDIRECT MILITARY AND ESSENTIAL CIVILIAN.'

A SETTLEMENT OF A CLAIM BY OUR TRANSPORTATION DIVISION MERELY DISPOSES OF THE PARTICULAR CLAIM AND UNLIKE A DECISION OF THE COMPTROLLER GENERAL MAY NOT BE CONSIDERED AND RELIED UPON AS A PRECEDENT FOR THE DISPOSITION OF OTHER CLAIMS. THE SETTLEMENTS IN CLAIMS TK-193081 AND TK-235322, INVOLVE SHIPMENTS WHICH MOVED UNDER REQUISITION NO. UK-20787, AND NOT REQUISITION NO. UK-18351. THE INTENDED "USE" TO BE MADE OF THE SYNTHETIC RUBBER AS SHOWN ON THE TWO REQUISITIONS IS ENTIRELY DIFFERENT. THE LANGUAGE AS TO INTENDED "USE" ON REQUISITION NO. UK-18351 IS SUBSTANTIALLY SIMILAR TO THAT OF REQUISITION NO. UK-BSC/21517, WHICH IS INVOLVED IN CENTRAL OF GEORGIA RAILWAY COMPANY V. UNITED STATES, COURT OF CLAIMS CASE NO. 316-57, B 132551. SECONDARY EVIDENCE IN THE FORM OF REPORTS TO AND TESTIMONY BEFORE CONGRESSIONAL COMMITTEE IN CONNECTION WITH LEND-LEASE APPROPRIATIONS DEVELOPED AT THE TRIAL OF CASE NO. 316-57 INDICATES THAT PRACTICALLY ALL LEND-LEASE SYNTHETIC RUBBER SHIPPED IN THE YEAR 1944 MOVED TO GREAT BRITAIN FOR MILITARY USE, THAT THE RUBBER RELEASED TO CIVILIANS DURING THIS PERIOD WAS NEGLIGIBLE, AND THAT THE BRITISH GOVERNMENT WAS RECLAIMING RUBBER FROM CIVILIAN SOURCES RATHER THAN RELEASING IT TO THEM. ACCORDINGLY, IT APPEARS THAT WE WOULD NOT BE WARRANTED IN CONCLUDING THAT THE UNITED STATES WAS NOT ENTITLED TO THE LAND-GRANT RATE FOR SHIPMENTS COVERED BY REQUISITION NO. UK-18351, AND OUR DISALLOWANCE OF YOUR CLAIM IS SUSTAINED.

IF, HOWEVER, UPON FINAL DISPOSITION OF THE CASE OF CENTRAL OF GEORGIA RAILWAY COMPANY V. UNITED STATES, C.CLS. NO. 316-57, AND BASED UPON THE COURT'S DECISION THEREIN, YOU BELIEVE AN ADDITIONAL AMOUNT IS DUE, WE WILL BE PLEASED, IF YOU THEN SO REQUEST, TO GIVE THE MATTER FURTHER CONSIDERATION.