[Navy Employee's Request for Waiver of Salary Overpayment]

B-232219: Oct 28, 1988

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A reemployed retired Navy member appealed the Claims Group's partial waiver of erroneous salary overpayments he received. The Claims Group had: (1) waived repayment of military retirement pay the claimant received, since the Navy erroneously advised the claimant that he was entitled to it; but (2) not waived repayment of salary overpayments, since the claimant knew that the Navy should have reduced his salary due to his civil service annuity. In his appeal, the claimant contended that he spent the overpayments to meet expenses. GAO held that the claimant's decision to spend the overpayments did not justify a repayment waiver, since he was aware that he was being overpaid. Accordingly, the partial waiver was sustained.