B-148274, JUN 22, 1962

B-148274: Jun 22, 1962

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TO ILLINOIS CENTRAL RAILROAD: REFERENCE IS MADE TO YOUR LETTER OF FEBRUARY 20. THE COMMODITY SHIPPED WAS DESCRIBED ON THE BILLS OF LADING AS "MILITARY IMPEDIMENTS.'. FOR THIS SERVICE YOU ORIGINALLY CLAIMED AND WERE PAID CHARGES COMPUTED ON THE BASIS OF THE 3RD CLASS CARLOAD RATING AT THE RATE OF $1.76 PER 100 POUNDS IN ACCORDANCE WITH NOTE 3 OF ITEM NO. 32671 OF CONSOLIDATED FREIGHT CLASSIFICATION NO. 16. WHICH READS: "RATINGS WILL ALSO APPLY ON MILITARY IMPEDIMENTA. WE HAVE BEEN ADVISED BY THE MILITARY TRAFFIC MANAGEMENT AGENCY. THE RECORD SHOWS THAT YOU WERE SIMILARLY ADVISED. IT WAS DETERMINED THAT THE CHARGES ON THESE SHIPMENTS SHOULD HAVE BEEN COMPUTED IN ACCORDANCE WITH A.A.R. THE AMOUNTS WERE RECOVERED BY DEDUCTION PURSUANT TO AUTHORITY CONTAINED IN 49 U.S.C. 66.

B-148274, JUN 22, 1962

TO ILLINOIS CENTRAL RAILROAD:

REFERENCE IS MADE TO YOUR LETTER OF FEBRUARY 20, 1962, ACKNOWLEDGED MARCH 6, 1962, YOUR FILE G-WQ-83604-BG 85576, REQUESTING REVIEW OF THE ACTION TAKEN IN CONNECTION WITH CLAIMS TK-704304 AND TK-704305 PERTAINING TO YOUR SUPPLEMENTAL BILLS NOS. WQ-83604-A AND WQ-85576-A.

THE SUPPLEMENTAL BILLS REPRESENT CLAIMS FOR ADDITIONAL TRANSPORTATION CHARGES ON SHIPMENTS MOVING UNDER GOVERNMENT BILLS OF LADING NOS. WW- 2827851, WW-2827852, WW-9943224, WW-9943352, WW 9940837, WW-9940838, WW- 9943354 AND WW-9943262, FROM THE NEW YORK PORT OF EMBARKATION, BAY RIDGE, NEW YORK, CONSIGNED TO THE MEMPHIS ASF DEPOT, MEMPHIS, TENNESSEE, DURING NOVEMBER 1945. THE COMMODITY SHIPPED WAS DESCRIBED ON THE BILLS OF LADING AS "MILITARY IMPEDIMENTS.' FOR THIS SERVICE YOU ORIGINALLY CLAIMED AND WERE PAID CHARGES COMPUTED ON THE BASIS OF THE 3RD CLASS CARLOAD RATING AT THE RATE OF $1.76 PER 100 POUNDS IN ACCORDANCE WITH NOTE 3 OF ITEM NO. 32671 OF CONSOLIDATED FREIGHT CLASSIFICATION NO. 16, WHICH READS:

"RATINGS WILL ALSO APPLY ON MILITARY IMPEDIMENTA, IN CARLOADS, IN FREIGHT TRAIN SERVICE WHEN UNACCOMPANIED BY TROOPS.'

THE RECORDS ASSOCIATED WITH THE ORIGINAL PAYMENT VOUCHERS CONTAIN DEPARTMENT OF THE ARMY FORMS 790 AND 0-354, WHICH SHOWED THE CORRECT DESCRIPTION OF THE PROPERTY TO BE UNCLASSIFIED AND UNSEGREGATED SURPLUS ORGANIZATIONAL EQUIPMENT RETURNED FROM OVERSEAS, RATABLE UNDER A.A.R. SECTION 22 QUOTATION NO. 487. WE HAVE BEEN ADVISED BY THE MILITARY TRAFFIC MANAGEMENT AGENCY, U.S. ARMY, THAT AN INVESTIGATION DISCLOSED THAT THESE SHIPMENTS CONSISTED OF MATERIAL RETURNED FROM OVERSEAS UNACCOMPANIED BY TROOP MOVEMENTS AND "QUALIFIED FOR MOVEMENT UNDER THE PROVISIONS OF AAR, SECTION 22, QUOTATION 487.' THE RECORD SHOWS THAT YOU WERE SIMILARLY ADVISED. MOREOVER, BILLS OF LADING NOS. WW-9940838 AND WW-9943354 BEAR THE NOTATION "MATERIAL RETURNED FROM OVERSEAS" WHICH SUBSTANTIATE THE ADMINISTRATIVE FINDING.

IN OUR AUDIT OF THE ORIGINAL PAYMENT VOUCHERS, IT WAS DETERMINED THAT THE CHARGES ON THESE SHIPMENTS SHOULD HAVE BEEN COMPUTED IN ACCORDANCE WITH A.A.R. SECTION 22 QUOTATION NO. 487, ON THE BASIS OF CARLOAD SHIPMENTS OF UNCLASSIFIED AND UNSEGREGATED SALVAGED AND SURPLUS EQUIPMENT AND SUPPLIES RETURNED FROM OVERSEAS, RESULTING IN OVERCHARGES OF $451.03 AND $1,006.89 ON YOUR BILLS WQ-83604 AND WQ 85576, RESPECTIVELY. UPON YOUR REFUSAL TO REFUND THESE OVERCHARGES, THE AMOUNTS WERE RECOVERED BY DEDUCTION PURSUANT TO AUTHORITY CONTAINED IN 49 U.S.C. 66.

THEREAFTER, YOU SUBMITTED THE SUPPLEMENTAL BILLS IN QUESTION, BASING YOUR CLAIM FOR THE HIGHER RATE ON THE FACT THAT THE SHIPPING DOCUMENTS COVERING THESE SHIPMENTS BORE THE WRITTEN NOTATION ,MILITARY IMPEDIMENTA.' YOU ALSO CONTEND THAT YOU HAVE BEEN ADVISED BY THE WESTERN WEIGHING AND INSPECTION BUREAU THAT IN ITS OPINION THE PROPER CLASSIFICATION FOR THESE SHIPMENTS WAS THAT DESCRIBED IN ITEM 32671 OF CONSOLIDATED FREIGHT CLASSIFICATION NO. 16. YOUR CLAIMS PER SUPPLEMENTAL BILLS NOS. WQ-83604-A AND WQ-85576-A, WERE DISALLOWED BY SETTLEMENTS DATED JANUARY 24 AND APRIL 4, 1962, RESPECTIVELY, BECAUSE THE RECORDS INDICATED THAT NO FURTHER AMOUNTS WERE DUE YOU INCIDENT TO THESE SHIPMENTS.

A.A.R. SECTION 22 QUOTATION NO. 487 WAS ISSUED JANUARY 31, 1945, BEARING AN EFFECTIVE DATE OF JANUARY 1, 1945, AND PROVIDED FOR RATES ON UNCLASSIFIED AND UNSEGREGATED AND SURPLUS EQUIPMENT AND SUPPLIES (EXCEPT AMMUNITION AND EXPLOSIVES) RETURNED FROM OVERSEAS, AND SHIPPED ON GOVERNMENT BILLS OF LADING, IN MIXED CARLOADS, FROM NORTH ATLANTIC PORTS, AND OTHER PORTS NOT PERTINENT HERE, TO ARMY DEPOTS, SALVAGE SEGREGATION CENTERS, ARMY SERVICE FORCES DEPOTS AND ARMY AIR FORCE DEPOTS, LOCATED AT POINTS IN TRUNK LINE ASSOCIATION, NEW ENGLAND FREIGHT ASSOCIATION, CENTRAL FREIGHT ASSOCIATION AND SOUTHERN FREIGHT ASSOCIATION TERRITORIES. THERE IS NOTHING IN THE RECORD TO REFUTE THE ADMINISTRATIVE DETERMINATION THAT THESE SHIPMENTS CAME WITHIN THE PURVIEW OF THIS QUOTATION.

IN INSTANCES IN WHICH THERE IS A CONFLICT BETWEEN THE FACTS REPORTED BY THE ADMINISTRATIVE OFFICE AND THOSE STATED BY A CLAIMANT, IT HAS LONG BEEN THE ESTABLISHED RULE OF OUR OFFICE TO RELY ON THE REPORT OF FACTS SUBMITTED BY THE ADMINISTRATIVE OFFICE, IN THE ABSENCE OF EVIDENCE SUFFICIENTLY CONVINCING TO OVERCOME THE PRESUMPTION OF THE CORRECTNESS THEREOF. 16 COMP. GEN. 25; 19 ID. 88.

SINCE THE ADMINISTRATIVE OFFICE REPORTS THAT THE SHIPMENTS IN QUESTION ACTUALLY CONSISTED OF UNCLASSIFIED AND UNSEGREGATED SURPLUS ORGANIZATIONAL EQUIPMENT RETURNED FROM OVERSEAS, THE BASIS FOR THE COMPUTATION OF CHARGES PROVIDED IN A.A.R. SECTION 22 QUOTATION NO. 487 APPEARS TO BE PROPER FOR USE IN THESE INSTANCES. ACCORDINGLY, THERE APPEARING TO BE NO REASON FOR MODIFICATION OF THE PRIOR SECTION OF OUR OFFICE, THE SETTLEMENTS OF JANUARY 24 AND APRIL 4, 1962, ARE SUSTAINED.