B-145616, JUN. 8, 1961

B-145616: Jun 8, 1961

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THIS AMOUNT APPARENTLY REPRESENTS THE DISCOUNT YOU WOULD HAVE RECEIVED (PLUS INTEREST) HAD YOU HELD THE FHA-INSURED MORTGAGE ON A DISCONTINUED HOUSING PROJECT UNTIL ITS MATURITY. IT APPEARS THAT YOU WERE A MORTGAGEE ON THE ABOVE-REFERRED-TO HOUSING PROJECT. THAT CONSTRUCTION THEREON WAS DISCONTINUED PRIOR TO ITS COMPLETION. THAT IF THE CONSTRUCTION HAD BEEN COMPLETED YOU WOULD HAVE RECEIVED THE AMOUNT IN QUESTION IN ADDITION TO OTHER AMOUNTS NOT HERE INVOLVED. IT FURTHER APPEARS THAT YOU ARE DISSATISFIED AT THE RATE OF INTEREST PAYABLE ON THE DEBENTURES WHICH WERE ISSUED TO YOU BY THE F.H.A. THE AUTHORITY GRANTED UNDER THIS PROVISION OF LAW IS SIMILAR IN EFFECT TO THE EXTRAORDINARY AUTHORITY TO DETERMINE AND PRESCRIBE OBLIGATIONS FOUND IN MANY GOVERNMENT CORPORATION CHARTERS.

B-145616, JUN. 8, 1961

TO MR. AUGUSTUS J. CHRISTIE, JR.:

YOUR LETTER OF MARCH 27, 1961, REFERENCE, CLAIM--- FHA PROJECT NO. 133--- 81006-ARMY-1 NIKE VILLAGE NO. THREE, INC., REQUESTS OUR CONSIDERATION OF YOUR CLAIM AGAINST THE FEDERAL HOUSING ADMINISTRATION IN THE AMOUNT OF $66,030.75 PLUS INTEREST. THIS AMOUNT APPARENTLY REPRESENTS THE DISCOUNT YOU WOULD HAVE RECEIVED (PLUS INTEREST) HAD YOU HELD THE FHA-INSURED MORTGAGE ON A DISCONTINUED HOUSING PROJECT UNTIL ITS MATURITY.

ON THE BASIS OF THE INFORMATION FURNISHED US BY YOU, IT APPEARS THAT YOU WERE A MORTGAGEE ON THE ABOVE-REFERRED-TO HOUSING PROJECT, AND THAT CONSTRUCTION THEREON WAS DISCONTINUED PRIOR TO ITS COMPLETION, AND THAT IF THE CONSTRUCTION HAD BEEN COMPLETED YOU WOULD HAVE RECEIVED THE AMOUNT IN QUESTION IN ADDITION TO OTHER AMOUNTS NOT HERE INVOLVED. IT FURTHER APPEARS THAT YOU ARE DISSATISFIED AT THE RATE OF INTEREST PAYABLE ON THE DEBENTURES WHICH WERE ISSUED TO YOU BY THE F.H.A. WHEN YOU SURRENDERED THE MORTGAGE AND CLAIM ADDITIONAL AMOUNTS RELATING THERETO.

THE RESPONSIBILITIES OF THE GENERAL ACCOUNTING OFFICE DO NOT EXTEND TO THE REVIEW OF CLAIMS AGAINST THE NONAPPROPRIATED FUNDS OF THE FEDERAL HOUSING ADMINISTRATION, SINCE TO REQUIRE THE SUBMISSION OF SUCH CLAIMS TO THE GENERAL ACCOUNTING OFFICE WOULD BE INCONSISTENT WITH THE STATUTORY AUTHORITY GIVEN THE FEDERAL HOUSING ADMINISTRATION UNDER THE PROVISIONS OF 12 U.S.C. 1702. THE AUTHORITY GRANTED UNDER THIS PROVISION OF LAW IS SIMILAR IN EFFECT TO THE EXTRAORDINARY AUTHORITY TO DETERMINE AND PRESCRIBE OBLIGATIONS FOUND IN MANY GOVERNMENT CORPORATION CHARTERS, AND ALTHOUGH THE FEDERAL HOUSING ADMINISTRATION IS NOT SPECIFICALLY CHARTERED AS A CORPORATION, FOR THE PURPOSE OF THE GOVERNMENT CORPORATION CONTROL ACT IT IS DEFINED IN 31 U.S.C. 846 AS A "WHOLLY OWNED GOVERNMENT CORPORATION.' 38 COMP. GEN. 343. FURTHERMORE, WE POINTED OUT IN 27 COMP. GEN. 429, AT PAGE 432:

"IT WAS NOT INTENDED UNDER THE REGULATIONS (PROMULGATED PURSUANT TO THE GOVERNMENT CORPORATION CONTROL ACT 31 U.S.C. 841) TO REQUIRE THE SUBMISSION TO THIS OFFICE OF CLAIMS AGAINST GOVERNMENT CORPORATIONS. FACT, SUCH A REQUIREMENT WOULD APPEAR TO BE INCONSISTENT WITH THE STATUTORY AUTHORITY GIVEN TO THE VARIOUS CORPORATIONS GENERALLY (1) TO SUE AND TO BE SUED IN THEIR OWN NAMES AND (2) TO SETTLE THEIR OWN CLAIMS OR TO HAVE THEIR FINANCIAL TRANSACTIONS TREATED AS FINAL AND CONCLUSIVE, AND, ALSO, TO BE INAPPROPRIATE IN ANY CASE WHERE SUCH SUBMISSION WAS NOT DIRECTED BY SPECIFIC PROVISION OF LAW. * * *"

SINCE YOUR CLAIM IS THEREFORE NOT ONE FOR SETTLEMENT BY THE GENERAL ACCOUNTING OFFICE AND OUR AUTHORITY OVER FINANCIAL TRANSACTIONS OF THE FEDERAL HOUSING ADMINISTRATION IS RESTRICTED TO THE MAKING OF A REPORT OF EACH AUDIT THEREOF TO THE CONGRESS (31 U.S.C. 851), WE CANNOT CONSIDER YOUR CLAIM AT YOUR REQUEST.