[Bank Liability Pursuant to Electronic Transfer of Reoccurring Federal Payments]

A bank filed a claim against the Government for money that was debited to its account with the Federal Reserve Bank at the request of the Department of the Treasury. Treasury found the bank liable for Government payments made to a deceased civil service retiree's account after the death of the retiree. Treasury regulations require banks to provide the names of individuals who withdraw from Federal retiree's electronic transfer accounts after the retiree's death, before waiving the banks' liability for the funds. However, the bank failed to provide the names within the required timeframe. Since GAO found the Treasury requirement reasonable, and the bank failed to provide the names within the required timeframe, Treasury properly found the bank liable for the payments. Accordingly, the claim was denied.