B-141570, FEB. 3, 1960
Highlights
IT IS STATED THAT IN ADDITION TO THIS SHORTAGE. AN OVERAGE OF $611.07 WAS DEPOSITED TO THE RECEIPT ACCOUNT 190969 (UNCLAIMED FUNDS AND ABANDONED PROPERTY NOT OTHERWISE CLASSIFIED). ARE HELD IN LOCAL DEPOSIT FUNDS. IT IS ADMINISTRATIVELY PROPOSED THAT THE TOTAL OVERAGE OF $804.73 BE CREDITED TO THE SHORTAGE OF $1. IT IS OUR VIEW THAT ANY OVERAGE OF FUNDS IN THE ACCOUNTS OF ACCOUNTABLE OFFICERS OF THE GOVERNMENT SHOULD ACCRUE TO THE GOVERNMENT. WE HAVE FOUND NOTHING IN THE FILE RELATIVE TO THE OVERAGE OF $611.07 DEPOSITED IN THE RECEIPT ACCOUNT 190969 WHICH INDICATES THAT THESE DEPOSITS WERE IMPROPER. THE MERE FACT THAT THESE FUNDS CANNOT BE READILY IDENTIFIED OR RECONCILED WITH THE OFFICER'S RECORDS IS NOT SUFFICIENT TO WARRANT THE ASSUMPTION THAT THE FUNDS ACTUALLY REPRESENT AN OVERAGE.
B-141570, FEB. 3, 1960
TO THE SECRETARY OF STATE:
BY LETTER OF DECEMBER 18, 1959, YOUR ASSISTANT SECRETARY, LANE DWINELL, SUBMITTED FOR OUR CONSIDERATION A PROPOSAL FOR THE ADJUSTMENT AND SETTLEMENT OF A SHORTAGE TOTALING 2,168.061 ISRAELI POUNDS, EQUIVALENT TO $1,204.48, REPORTED IN THE ACCOUNTS OF BRUCE E. WOOLNER, FORMER UNITED STATES DISBURSING OFFICER AT TEL AVIV, ISRAEL.
IT IS STATED THAT IN ADDITION TO THIS SHORTAGE, AN OVERAGE OF $611.07 WAS DEPOSITED TO THE RECEIPT ACCOUNT 190969 (UNCLAIMED FUNDS AND ABANDONED PROPERTY NOT OTHERWISE CLASSIFIED), AND OVERAGES OF ISRAELI POUNDS 311.847 AND 36.739, THE EQUIVALENT OF $173.25 AND $20.41, RESPECTIVELY, ARE HELD IN LOCAL DEPOSIT FUNDS.
IT IS ADMINISTRATIVELY PROPOSED THAT THE TOTAL OVERAGE OF $804.73 BE CREDITED TO THE SHORTAGE OF $1,204.48 AND THAT THE NET SHORTAGE OF $399.75 BE COLLECTED FROM BRUCE E. WOOLNER.
BEFORE GOING INTO THE MERITS OF THIS MATTER IT MIGHT BE STATED, GENERALLY, THAT, IN THE ABSENCE OF SUBSTANTIAL EVIDENCE THAT SHORTAGES CAN BE DIRECTLY ATTRIBUTED TO OVERAGES, IT IS OUR VIEW THAT ANY OVERAGE OF FUNDS IN THE ACCOUNTS OF ACCOUNTABLE OFFICERS OF THE GOVERNMENT SHOULD ACCRUE TO THE GOVERNMENT.
WE HAVE FOUND NOTHING IN THE FILE RELATIVE TO THE OVERAGE OF $611.07 DEPOSITED IN THE RECEIPT ACCOUNT 190969 WHICH INDICATES THAT THESE DEPOSITS WERE IMPROPER. THE MERE FACT THAT THESE FUNDS CANNOT BE READILY IDENTIFIED OR RECONCILED WITH THE OFFICER'S RECORDS IS NOT SUFFICIENT TO WARRANT THE ASSUMPTION THAT THE FUNDS ACTUALLY REPRESENT AN OVERAGE. FURTHERMORE, EVEN IF IT IS ASSUMED THAT THIS AMOUNT ACTUALLY IS AN OVERAGE THERE EXISTS NO PROOF THAT THESE FUNDS ARE IN ANY WAY RELATED TO OR THAT THEY CONTRIBUTED TO THE SHORTAGES. ACCORDINGLY, IT IS OUR VIEW THAT THESE FUNDS PROPERLY MAY NOT BE USED TO EFFECT ANY OF THE SHORTAGES.
REGARDING THE OVERAGE OF IL 36.739 OR $20.41, HELD IN THE LOCAL DEPOSIT ACCOUNT, THERE IS FOR NOTING THE STATEMENT BY AN AUDITOR OF YOUR DEPARTMENT IN HER SECOND REPORT DATED MAY 2, 1958, THAT "A FORM FB-459 HAS BEEN PREPARED IN THE AMOUNT OF IL 36.739 TO BE DISPOSED OF IF AND WHEN A DEPOSITOR MAY CLAIM THE MONEY. THIS AMOUNT MAY POSSIBLY RELATE TO THE POUND SHORTAGE.' IT THUS APPEARS THAT THESE FUNDS ARE SUBJECT TO CLAIMS BY DEPOSITORS AND WE UNDERSTAND THAT NOTHING CONTAINED IN THE FILE INDICATES THAT THE DEPOSITS WERE IMPROPER. THE STATEMENT THAT THE AMOUNT MAY POSSIBLY RELATE TO THE SHORTAGES IS, OF COURSE, NOTHING MORE THAN AN ASSUMPTION. ACCORDINGLY, AND FOR THE REASONS STATED ABOVE CONCERNING THE OVERAGE OF $611.07, IT IS OUR VIEW THAT THESE FUNDS MAY NOT BE USED FOR THE PURPOSE ADMINISTRATIVELY PROPOSED.
WITH RESPECT TO THE OVERAGE OF IL 311.847 OR $173.25 IN THE CASH ACCOUNT OF FOREIGN SERVICE ADVANCES ON LOCAL DEPOSIT IT IS NOTED THAT THE SHORTAGES ARE ALSO IN THE ACCOUNT OF FOREIGN SERVICE ADVANCES. THUS, UNDER NORMAL CIRCUMSTANCES, IT COULD BE ARGUED WITH SOME MERIT THAT, IF ON THE BASIS OF THE OFFICER'S ACCOUNTING RECORDS THERE EXISTS AN OVERAGE, IT WOULD BE LOGICAL TO REDUCE ANY APPARENT SHORTAGE BY THE AMOUNT OF THE OVERAGE. HOWEVER, IT APPEARS THAT IN THIS CASE THERE IS FOR CONSIDERATION THAT YOUR DEPARTMENT, EVEN AFTER RECONSTRUCTION OF THE ACCOUNTS, BECAUSE OF LOOSE PRACTICES BY THE OFFICER IN HANDLING GOVERNMENT FUNDS WAS UNABLE TO PLACE SUFFICIENT RELIANCE ON THE OFFICER'S RECORDS TO JUSTIFY THE APPLICATION OF THE OVERAGE AGAINST THE SHORTAGE AND THUS REPORT ONLY THE NET SHORTAGES IN THE FIRST INSTANCE. THE OFFICER HAS ONLY HIMSELF TO BLAME IF HE THUS IS DEPRIVED OF HAVING AN OTHERWISE PROPER AMOUNT SET OFF AGAINST THE SHORTAGES.
FINALLY, IN THIS VIEW OF THE MATTER, THE PROPOSED ADJUSTMENT, IF APPROVED, WOULD CONSTITUTE, IN EFFECT, THE GRANTING OF RELIEF FOR PART OF THE SHORTAGES. SINCE THE ADMINISTRATIVE FILE ON THIS MATTER APPARENTLY IS REPLETE WITH FINDINGS OF INEFFICIENCIES AND NEGLIGENCE ON THE PART OF THE ACCOUNTABLE OFFICER INVOLVED, IT IS OBVIOUS THAT THE OFFICER IS NOT ENTITLED TO SUCH RELIEF.
ACCORDINGLY, ON THE BASIS OF THE PRESENT RECORD, WE CANNOT APPROVE ANY PART OF THE PROPOSED ADJUSTMENT.