Relief from Liability for Erroneous Payment from United States Bankruptcy Court's Registry Fund

A director of the Administrative Office of the United States Courts requested that GAO grant relief from liability for an improper payment from the registry funds of the United States Bankruptcy Court for the District of Alaska. The erroneous payment was not the result of negligence, and the court diligently attempted to recover the money. The request indicates that in the event relief from liability is granted the director intends to restore the funds to the court's registry fund account from appropriated funds for the operation of the Judiciary. GAO found that even though the court made diligent efforts to retrieve the money, it is unlikely that the money will be recovered from the original payees. Accordingly, GAO granted relief from liability for the loss of both the clerk and the chief deputy clerk. Further, GAO concurred in the director's proposal to restore the amount of the loss to the court's registry fund from currently available appropriations.