B-86001/K), MAY 23, 1956

B-86001/K): May 23, 1956

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KREUTER: REFERENCE IS MADE TO YOUR UNSIGNED LETTER DATED FEBRUARY 22. THAT HIS INCOME FROM ALL SOURCES OTHER THAN YOUR CONTRIBUTIONS WAS $44 A MONTH. THAT HIS LIVING EXPENSES WERE FROM $125 TO $175 A MONTH. WHO WERE LIVING TOGETHER WITH YOUR MINOR SISTER. SINCE SUCH INCOME WAS MORE THAN ONE-HALF OF THE FAMILY'S AVERAGE MONTHLY LIVING EXPENSES. IT WAS CONCLUDED THAT YOUR FATHER WAS NOT DEPENDENT UPON YOU FOR CHIEF SUPPORT DURING THE PERIOD MAY 1 TO DECEMBER 22. THERE WAS ENCLOSED WITH YOUR LETTER OF FEBRUARY 22. IN WHICH HE SAYS THAT YOUR MOTHER LEFT HER DUTIES AS A HOUSEWIFE AND TOOK EMPLOYMENT FOR THE SOLE PURPOSE OF ACCUMULATING A FUND FOR THE EDUCATION OF YOUR MINOR SISTER AND THAT THE SALARY OF THE MOTHER WAS TURNED OVER TO YOUR SISTER TO CREATE SUCH FUND AND WAS USED BY THE LATTER FOR HER EDUCATION.

B-86001/K), MAY 23, 1956

TO MR. KENNETH G. KREUTER:

REFERENCE IS MADE TO YOUR UNSIGNED LETTER DATED FEBRUARY 22, 1956, WITH ENCLOSURES, CONCERNING YOUR INDEBTEDNESS TO THE UNITED STATES FOR THE ERRONEOUS PAYMENT TO YOU OF INCREASED RENTAL AND SUBSISTENCE ALLOWANCES ON ACCOUNT OF YOUR FATHER, INCIDENT TO YOUR SERVICES AS A COMMISSIONED OFFICER, ARMY OF THE UNITED STATES.

IT APPEARS THAT, AFTER YOU REPORTED FOR ACTIVE DUTY AS A COMMISSIONED OFFICER ON OCTOBER 14, 1948, YOU EXECUTED, ON JULY 1, 1949, YOUR CERTIFICATE FOR INCREASED RENTAL AND SUBSISTENCE ALLOWANCES ON ACCOUNT OF A DEPENDENT FATHER. YOU CERTIFIED THAT COMMENCING MAY 1, 1949, YOU CONTRIBUTED $100 A MONTH TO THE SUPPORT OF YOUR FATHER, THAT HIS INCOME FROM ALL SOURCES OTHER THAN YOUR CONTRIBUTIONS WAS $44 A MONTH, AND THAT HIS LIVING EXPENSES WERE FROM $125 TO $175 A MONTH, OR AN AVERAGE OF $150 A MONTH. IT ALSO APPEARS FROM A REPORT OF INVESTIGATION CONDUCTED BY OUR REPRESENTATIVES THAT THE INCOME OF YOUR FATHER AND MOTHER, WHO WERE LIVING TOGETHER WITH YOUR MINOR SISTER, FROM ALL SOURCES OTHER THAN YOUR CONTRIBUTION AMOUNTED TO $258.60 A MONTH. SUCH INCOME CONSISTED OF YOUR MOTHER'S SALARY OF $160 A MONTH, SOCIAL SECURITY PAYMENTS TO YOUR FATHER AND SISTER OF $46.20 A MONTH AND $20.40 A MONTH, RESPECTIVELY, AND INCOME FROM THE SALE OF PROPERTY OF $32 A MONTH. SINCE SUCH INCOME WAS MORE THAN ONE-HALF OF THE FAMILY'S AVERAGE MONTHLY LIVING EXPENSES, IT WAS CONCLUDED THAT YOUR FATHER WAS NOT DEPENDENT UPON YOU FOR CHIEF SUPPORT DURING THE PERIOD MAY 1 TO DECEMBER 22, 1949, AND FOR A 15-DAY PERIOD OF ACCRUED LEAVE.

THERE WAS ENCLOSED WITH YOUR LETTER OF FEBRUARY 22, 1956, A COPY OF A LETTER DATED AUGUST 13, 1952, FROM KARL J. MOHR, ATTORNEY, ROCKFORD, ILLINOIS, TO THE MILITARY PAY DIVISION, FINANCE CENTER, UNITED STATES ARMY, INDIANAPOLIS 49, INDIANA, IN WHICH HE SAYS THAT YOUR MOTHER LEFT HER DUTIES AS A HOUSEWIFE AND TOOK EMPLOYMENT FOR THE SOLE PURPOSE OF ACCUMULATING A FUND FOR THE EDUCATION OF YOUR MINOR SISTER AND THAT THE SALARY OF THE MOTHER WAS TURNED OVER TO YOUR SISTER TO CREATE SUCH FUND AND WAS USED BY THE LATTER FOR HER EDUCATION. IT IS CONTENDED THAT SUCH SALARY SHOULD NOT BE INCLUDED IN THE OTHER INCOME.

WHERE, AS IS THE SITUATION IN YOUR CASE, AN OFFICER'S FATHER AND MOTHER ARE LIVING TOGETHER, THE DEPENDENCY STATUS OF THE PARENTS OR EITHER OF THEM, MUST BE DETERMINED ON THE BASIS OF THE FAMILY UNIT AND THE FAMILY INCOME MUST BE CONSIDERED AS A GENERAL FUND FOR THE SUPPORT OF BOTH PARENTS. NEITHER PARENT MAY BE CONSIDERED AS IN FACT DEPENDENT ON THE OFFICER FOR CHIEF SUPPORT WHERE THE FAMILY INCOME COVERED AT LEAST ONE- HALF OF THE LIVING EXPENSES OF THE FAMILY UNIT, OR WHERE THE OFFICER'S CONTRIBUTIONS WERE LESS THAN THE OTHER FAMILY INCOME.

SINCE THE AVERAGE MONTHLY INCOME OF YOUR PARENTS OTHER THAN YOUR CONTRIBUTIONS AMOUNTED TO MORE THAN ONE-HALF OF THE AVERAGE MONTHLY FAMILY LIVING EXPENSES, IT MUST BE CONCLUDED THAT YOUR FATHER WAS NOT IN FACT DEPENDENT UPON YOU FOR CHIEF SUPPORT DURING THE PERIOD MAY 1 TO DECEMBER 22, 1949, AND FOR THE 15-DAY PERIOD OF ACCRUED LEAVE.

AN EXAMINATION OF YOUR MILITARY PAY RECORD DISCLOSES THAT YOU WERE PAID INCREASED RENTAL ALLOWANCE ON ACCOUNT OF A DEPENDENT FATHER FROM MAY 1 TO SEPTEMBER 30, 1949, AT THE RATE OF $60 A MONTH, OR $300, AND FROM OCTOBER 1 TO DECEMBER 22, 1949, AT THE RATE OF 15 DAYS' ACCRUED LEAVE AT THE RATE OF $75 PER MONTH, OR $37.50. THE DEPARTMENT OF THE ARMY HAS REPORTED THAT IT HAS BEEN UNABLE TO LOCATE ANY ORDERS AUTHORIZING YOU TO RECEIVE QUARTERS ALLOWANCE IN YOUR OWN RIGHT FOR THE PERIOD MAY 1 TO DECEMBER 22, 1949, AND OTHER INFORMATION INDICATES THAT YOU OCCUPIED GOVERNMENT QUARTERS DURING THAT PERIOD. ACCORDINGLY, YOU WERE ERRONEOUSLY PAID THE SUM OF $505 FOR SUCH ALLOWANCE FOR THAT PERIOD, PLUS, FOR THE 15-DAY ACCRUED LEAVE PERIOD, THE SUM OF $7.50, THE DIFFERENCE FOR 15 DAYS BETWEEN RENTAL ALLOWANCE AT THE RATE OF $75 PER MONTH FOR OFFICERS WITH DEPENDENTS FOR RENTAL ALLOWANCE AT THE RATE OF $60 PER MONTH FOR OFFICERS WITHOUT DEPENDENTS. THE PAY RECORD ALSO DISCLOSES THAT DURING THE PERIOD MAY 1 TO SEPTEMBER 30, 1949, YOU WERE PAID INCREASED SUBSISTENCE ALLOWANCE ON ACCOUNT OF A DEPENDENT FATHER IN THE AMOUNT OF $213.40. YOU WERE ENTITLED TO SUBSISTENCE ALLOWANCE AS A SINGLE OFFICER FOR THAT PERIOD IN THE AMOUNT OF $107.10. HENCE, YOU WERE ERRONEOUSLY PAID SUBSISTENCE ALLOWANCE IN THE AMOUNTS OF $106.30. THUS, THE TOTAL OF THE ERRONEOUS PAYMENTS OF THE INCREASED RENTAL AND SUBSISTENCE ALLOWANCES ON ACCOUNT OF YOUR ALLEGED DEPENDENT FATHER AMOUNTED TO $618.80. YOU WERE ENTITLED TO A CREDIT OF $156.23 UNDER THE "SAVED" PAY PROVISIONS OF THE CAREER COMPENSATION ACT OF 1949, 63 STAT. 831, REDUCING YOUR NET INDEBTEDNESS TO THE UNITED STATES TO THE SUM OF $462.57. THE AMOUNT OF THAT INDEBTEDNESS IN THE FORM OF A CERTIFIED CHECK OR MONEY ORDERS MADE PAYABLE TO THE U.S. GENERAL ACCOUNTING OFFICE SHOULD BE FORWARDED TO THAT OFFICE, POST OFFICE BOX 2610, WASHINGTON 13, D. C. IF YOU ARE UNABLE TO MAKE FULL PAYMENT AT ONE TIME, YOU SHOULD MAKE ARRANGEMENTS WITH OUR CLAIMS DIVISION FOR THE LIQUIDATION OF YOUR INDEBTEDNESS WITHIN A REASONABLE TIME.