B-124499, OCT. 26, 1956

B-124499, OCT. 26, 1956

TO WALTER AND HAVERFIELD:

REFERENCE IS MADE TO YOUR LETTERS OF AUGUST 23 AND SEPTEMBER 21, 1956, RELATIVE TO THE AUTO MECHANICS SCHOOL OF PITTSBURGH MATTER WHICH YOU INFORMALLY DISCUSSED RECENTLY WITH MR. WAYNE SMITH OF OUR STAFF.

IN YOUR LETTER YOU REFER TO THE MCSWEENY TRADE SCHOOL CASE DECIDED BY THE COURT OF CLAIMS JANUARY 11, 1955, 131 C.CLS. 445, AND THE AMERICAN TRADE SCHOOLS CASE NOW PENDING IN THE DISTRICT COURT AT KANSAS CITY. YOU STATE THAT THE FACTS INVOLVED IN THESE CASES ARE DISSIMILAR IN CERTAIN RESPECTS WITH THOSE INVOLVED IN THE AUTO MECHANICS SCHOOL OF PITTSBURGH MATTER AND YOU EXPRESS THE OPINION THAT THEREFORE THE DECISION OF THE DISTRICT COURT IN THE AMERICAN TRADE SCHOOLS CASE, WHEN RENDERED, WILL NOT BE DECISIVE OF THE GOVERNMENT'S CLAIM AGAINST THE AUTO MECHANICS SCHOOL OF PITTSBURGH AS SET OUT IN OUR LETTER TO YOU DATED JUNE 19, 1956, B-124499. YOU ASK OUR VIEWS.

WE RECOGNIZE, AS I UNDERSTAND WAS POINTED OUT IN THE CONFERENCE WITH YOU, THAT THE FINAL DISPOSITION OF THE AMERICAN TRADE SCHOOLS CASE MIGHT NOT BE DECISIVE OF THE QUESTIONS PRESENTED IN THE INSTANT MATTER. HOWEVER, FOR THE REASONS HERETOFORE STATED, IT IS OUR VIEW THAT THE DECISION RENDERED BY THE VETERANS' EDUCATION APPEALS BOARD ON THE APPEAL OF THE AUTO MECHANICS SCHOOL OF PITTSBURGH REPRESENTS A JUST AND REASONABLE DETERMINATION OF THE ISSUES INVOLVED.

WITH RESPECT TO THE INDICATION IN YOUR LETTER THAT THE GOVERNMENT'S CLAIM HAS BEEN REDUCED TO $30,872.98, IT WAS POINTED OUT IN OUR LETTER OF AUGUST 17, 1956, THAT NO ERROR HAD BEEN MADE BY THE ADMINISTRATIVE OFFICE, AS ALLEGED BY YOU, IN THE COMPUTATION OF THE OVERPAYMENTS RECEIVED BY THE SCHOOL. HENCE, YOUR ASSUMPTION THAT THE GOVERNMENT'S CLAIM HAS BEEN REDUCED IS WITHOUT FOUNDATION.

ACCORDINGLY, IN THE ABSENCE OF ANY EVIDENCE OR INFORMATION WARRANTING A MODIFICATION OF OUR DETERMINATION HERETOFORE COMMUNICATED TO YOU, THE MATTER WILL BE REFERRED TO THE ATTORNEY GENERAL FOR CONSIDERATION AND APPROPRIATE ACTION.